OFT issues new advice over holiday clubs

Friday, 28 Mar, 2003 0

Spain: Huge rise in complaints leads to warning for holidaymakers

The Office of Fair Trading has issued a warning against the dangers of signing up to join “holiday clubs” after a massive rise in complaints.

According to reports in most of today’s newspapers, OFT has received more than 700 complaints in the last year, relating to people who paid up to £25,000 to join a “club” and then received little or nothing in return.

The watchdog says the problem is greatest in mainland Spain and the Canary Islands, where salespeople use high-pressure tactics – or plain deception – to swindle travellers out of their money. New “members” are promised preferential booking conditions, cheap deals and the like – but many of the promises are broken and there have been many reports of the companies folding or simply disappearing.

The deputy director general of OFT, Penny Boys, told the Daily Mail: “Unscrupulous holiday club companies prey on people’s aspirations – cheap luxury holidays for life is a very attractive prospect. But they often do not deliver what they promise and consumers are left thousands of pounds out of pocket.”

OFT warned that companies found to be operating illegally could be closed down, with those in charge facing up to two years in jail.



 



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