Timeshare owners could be entitled to claim compensation for many reasons, the main reason is determined by how they paid for the timeshare. However, it is not the only factor. We have written this article to explain why timeshares purchased by credit card could be covered by insurance.
Payments made by credit card
This depends on what country you are from. Some countries have laws in place where a credit provider must have mandatory consumer protection insurance. This is to ensure that they do not provide credit for illegal purchases or services. For example, if you purchased a pair of red trainers online, and when they arrived, they were not the red trainers that you had ordered, the credit provider would be jointly responsible for their part in the transaction. It is this concept that allows claims companies to recover the money that you had spent on your timeshare.
It is not as simple to prove as when you purchase physical goods, however, it is not impossible. An expert may able to find illegalities within your timeshare contract that you were unaware of. This could be anything from, the use of illegal contracts, wording within the contracts and services not being provided. Credit providers will not just hand you the money so you will need to make sure you have legal proof.
You do not need to use a lawyer for this; however, you only get one shot. If the credit provider finds that the purchase was legal, you can appeal their decision one time. If the appeal is still unsuccessful, which is common, your last option is to file a complaint to the Financial Ombudsman Service. This can take up to 2 years, their decision is final and if your claim is rejected you will not be eligible to submit a claim again later.
Use an expert
Make sure you do it correctly, it cannot be your word against theirs. If you do not understand your country or state’s contract laws, use a specialist that know what they are looking for. It will cost you money, but they can let you know how strong your case is before you proceed and pay.
To find out if you are eligible to claim compensation, use our online compensation calculator. If you cannot claim via your credit card’s insurance, there are still several other options to pursue.