Hajj 2023 (Nusuk)

GulamFahim

Hello Money Saving Expert Forum

This year I am planning on going pilgrimage to Mecca, as known as Hajj. 

In previous year this mamouth and expensive trip (around £10,000 per person) was organised by UK ATOL

Protected travel agents. As it was ATOL protected there was a level of protection when handing over this large sums on monies. 

However this year the whole Hajj operation has been bought “in house” per se and UK pilgrims can only book the Hajj package via a Saudi Government Website called “Nusuk Hajj”.

On Nusuk 12 Saudi Travel agents will post package options (similar to a Booking.com lets imagine) and we can select the hotels, flights and duration we would like. 

They have also mentioned that there will be a number of payment methods. visa/Mastercard debit or credit card payments or bank transfer. 

Now we are paying Saudi Goverment when booking but don’t have the same level of protection when booking via UK travel agent. 

I want to AVOID using a credit card and wanted to know the protection I would have using a debit card and if it is similar compared to that of a credit card and the differences

Look forward to hearing from the responses

Kind Regards

Gulam 

DullGreyGuy

The main difference is that with a credit card then for breach of contract there is the potential for a S75 claim however travel bookings often involve agents and middlemen between you as the debtor and the supplier and so this invalidates any S75 claim. 

Neither payment mechanism is going to protect you if you fall ill the day before travel and cannot go, for that you need travel insurance (takaful if required).

Wasnt aware that there were halal credit cards out there.

eDicky

A debit card payment gives chargeback facility in case services purchased are not provided, but not S75 protection available with credit cards in certain circumstances.

What sort of concerns could you have about need for protection when such holy actions are involved, do you doubt the Saudi government motives..?

CKhalvashi

eDicky said:

A debit card payment gives chargeback facility in case services purchased are not provided, but not S75 protection available with credit cards in certain circumstances.

What sort of concerns could you have about need for protection when such holy actions are involved, do you doubt the Saudi government motives..?

I don't think for OP it's about doubting the Saudi government, however there may be issues if one of their suppliers becomes insolvent or similar.

As far as I'm aware (please do check though @GulamFahim , especially as this is for religious reasons), it is permissible to use credit as long as this doesn't involve interest and OP is sure it won't be paid or received in relation to any transaction on making the payment. This in a practical sense would involve paying on a CC and repaying in full on the statement date.

I'm not sure if it's possible to split payments through the system, however even in this case applying for a low limit 'starter' card and placing £100 (or similar, it could be 1p) of the transaction on this card, the whole amount will be covered as long as the trip costs between £100 and £30k. The card would need to be in the name of one of the parties named on the agreement (known as the debtor-creditor-supplier rule).

One of the banks specialising in Islamic finance may offer a credit card structured in a way that is halal.

There is unfortunately no similar protection for a debit card.