The European Commission has announced plans to crackdown on ‘holiday club’ scams, which have swindled thousands of British holidaymakers out of their savings .
Many of these scams operate by persuading travellers to pay large up-front fees to join clubs that promise cheap holidays in the future, but often turn out to be worthless.
The ‘bogus’ holiday clubs have been able get around existing timeshare laws because holiday club membership is not linked to any rights in any particular property, so consumers are not protected.
The Commission's proposes to introduce a ban on holiday clubs taking money up front, a 14 day cooling-off period and up-front information that sets out precisely what club membership entitles a consumer to, and exactly who their contract is with.
Some people have paid as much as £15,000 for membership and found that they have no guarantees about the dates or quality of their accommodation .
Others have also found that they are committed to paying annual subscriptions even if they do not take a holiday and that their only real benefit is access to a website of dubious value.
Corrupt holiday clubs tend to entice people while they are on holiday through scratch card games, which promise ‘wins’, and invite their targets to high-pressure presentations .
Consumer Minister at the UK's Department of Trade and Industry, Ian McCartney, welcomed the proposals saying, "Since the mid-1990's we have had effective laws to outlaw scams with Timeshares, but scammers have found a way to get around the rules by selling a different product - holiday clubs ."
"People are being conned into shelling out thousands of pounds on what turn out to be empty promises. Victims not only lose their holiday but also their hard-earned savings ."
Mr McCartney added that people should be very cautious of holiday clubs until the new regulations can be adopted .
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EU To Increase Protection Against Holiday Scams Fri, 08 Jun 2007      Recommended linksSearch for flights, holidays, hotels and travel insurance dealsSearch for a holiday Tips on search for a holiday Mini weekend cruises New EU Air Travel Rules Come Into Effect Brits Are Highest Holiday Spenders |
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