23 June 2009
Holidaymakers who choose to use their credit cards abroad could find they have greater peace of mind, one expert has suggested.
Mark Bowerman, PR Manager for the UK Cards Association, said it is a convenient method of payment and consumers will, in some cases, be protected by legislation.
"If you buy something costing between £100 and £30,000 on your credit card and it is faulty or not delivered, you have protection through Section 75 of the Consumer Credit Act," he revealed.
Furthermore, Mr Bowerman believes that people who have cash stolen when abroad are unlikely to get it back, meaning credit cards are the safer option.
According to a press release from FairFX.com, 44 per cent of Brits think zero per cent commission means the service is free and 58 per cent of people base travel money purchases on misleading advertising.
Louise Bond, uSwitch personal finance expert, comments: "Consumers will only benefit from Section 75 of the Consumer Credit Act if purchases are made using a credit card. Although banks do not admit liability for debit or charge card purchases, they may consider looking at a complaint as a gesture of goodwill. It is important to note that Section 75 does not apply to purchases made with pre-paid cards."