Beware the holiday scratchcard scam

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Scratchcard touts operating abroad are using the promise of a 'star prize' to snare tourists into buying holiday club membership and timeshare trials, a new report by Holiday Which? warns.

Undercover research carried out by Holiday Which? has found that scratchcard touts in popular Mediterranean resorts are luring British tourists into sales presentations with the promise of 'star prizes'.

To get the prizes, 'winners' often have to attend lengthy presentations where they are sold membership to holiday clubs or timeshare trials.

Holiday Which? researchers, posing as an engaged couple, were approached by touts and enticed to two presentations, where they were relentlessly bombarded with baffling information for up to five hours.

The sales staff would not reveal the cost of membership until near the end of the presentations. At both sessions the 'couple' was pressured to sign up and pay money on the spot without the chance to think it over.

People in the UK are also being targeted via a letter or a phone call informing them that they have won a holiday prize.

New legislation coming into force in April 2008 aims to outlaw misleading and aggressive sales practices. Holiday Which? hopes this will put an end to the use of pressure selling techniques at presentations.

Lorna Cowan, editor of Holiday Which?, says:

"We welcome new EU proposals, which should prevent companies from demanding money on the spot for these types of holiday products. In the meantime we would advise holidaymakers to avoid scratchcard touts at all costs and not to buy into a holiday club."

Holiday Which? tips at sales presentations:

• To avoid temptation, don't take your credit or debit card with you.

• Ensure you get a full written description including fees, legal rights and obligations.

• Make sure you know the company's address and take notes of what is said if possible.