Overseas credit card protection ought not to be confused with travel insurance

A warning has been issued by Apacs to holidaymakers not to confuse overseas credit card protection offered by the Consumer Credit Act with actual travel insurance.

Whilst section 75 of the Consumer Credit Act 1974 means UK consumers are protected when purchasing goods abroad on their credit cards, it is vital that consumers be aware that this does not provide the financial cover of an actual travel insurance policy.

A spokesperson for the association, Mark Bowerman stresses that customers should make themselves aware of the difference between the two forms of cover, and encourages anyone with any questions to obtain advice from either their insurance company or their credit card company.

He also advises purchasing items abroad using a popular credit card covered by the Consumer Credit Act which offers far more protection againts faulty goods or goods failing to meet trade description standards than cold hard currency.

In addition he advises customers to (wherever possible) try to ensure you deal with a ‘reputable’ company when buying something and strongly suggests using a credit card for those purchases falling within £100 to £30,000 price range, thus offering that sense of “extra protection”.

It is also interesting to note that figures supplied by Sainsbury’s Travel Insurance indicate that 18% of the adult population booked a last-minute holiday last year. Of those people, 19% did not take out any form of travel insurance.