Holiday Payments

DebtHurricane

Is it true if you make a payment of even as little as £1 of a package holiday, the credit company becomes liable for the entire holiday should it get cancelled etc? 

colsten

No. Read this: https://www.moneysavingexpert.com/reclaim/section75-protect-your-purchases/

DebtHurricane

This is why I’m so confused:

“The law's specific on this, you get the protection for the whole cost of an item or service, even if you only pay for a part of it – even just 1p would count – on credit. The only condition is that what you're buying costs more than £100 and less than £30,000.

Therefore if you want protection…

As long as it costs more than £100, pay for even a fraction on a credit card and you're protected”

colsten

Oh, may be you are right. May be I haven't read it properly myself.

bigadaj

Yes a payment of 1p would give section 75 protection. However it's not some magic guarantee or a replacement for travel insurance. It makes the cc provider jointly liable for misrepresentation or failure to deliver goods or services, very useful to have but doesn't cover everything. 

eskbanker

One particular caveat for package holidays is that contracting and paying via an agent (if different from the actual package organiser) is likely to nullify s75 rights, as explained in the MSE article linked above....

DebtHurricane

So for example- TUI is the holiday provider and we booked through TUI directly. I’m presuming this gives The S75 protection. I do have travel insurance and it was in place at the time of booking, I’ve also made sure that the FCO travel advice was not advising against travel to that country at the time of booking. 

The holiday is next year, I just wanted to have as much ‘protection’ or routes of protecting my money as possible. I’ll make a payment on the credit card and at least it might be an option. Though I’d rather be lounging in the sun than trying to chase a refund next year! If Covid allows!

sheramber

Have you checked that your policy covers you for FCO advice against travel?
Not all policies do and some have  restrictions as to what they cover against.

born_again

DebtHurricane said:

So for example- TUI is the holiday provider and we booked through TUI directly. I’m presuming this gives The S75 protection. I do have travel insurance and it was in place at the time of booking, I’ve also made sure that the FCO travel advice was not advising against travel to that country at the time of booking. 

The holiday is next year, I just wanted to have as much ‘protection’ or routes of protecting my money as possible. I’ll make a payment on the credit card and at least it might be an option. Though I’d rather be lounging in the sun than trying to chase a refund next year! If Covid allows!

Just remember that if "YOU" cancel. You lose that any S75 protection as you have Breeched the contract.