Spanish Holiday Club Scam

The Office of Fair Trading has revealed that a spanish holiday club scam has already earned its creators millions of pounds.

The scam involves the use of scratchcards asking 'have you won a luxury holiday?' All the cards are winning cards, with the prize being a sales presentation designed to push people into parting with cash to join an exclusive holiday club.

The 'exclusive holiday club' offers members access to holidays in resorts such as Fuengirola, Benalmadena and the Canary Islands. However, it appears that the contracts signed are 'nearly worthless', and in many cases the club offers little more than an internet booking service, which members could access equally easily without club membership.

The average amount paid by victims of the scam is 3,000 euros.

The OFT scambusters team have been handing out their own versions of the cards at UK Airports to highlight the problem, whilst staff from the European Consumer Centre have been on hand at Malaga Airport. The OFT has also taken out adverts in inflight magazines and airport walls.

Mike Haley, head of consumer protection at the OFT, urged holidaymakers to take extra care when faced with something aimed at persuading them to attend such a presentation, and to ask themselves three questions:

• Can you take away the contract to consider at your leisure?
• Is everything you are promised in the presentation in the contract?
• Do you know exactly what you are getting for your money?

If the answer to any of these questions is no, the OFT advises you to walk away.