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Hungarian Competition Authority Cracks Down on Deceptive Practices in Secondary Sales of Holiday Rights

28.10.2024 | 🇭🇺 Hungarian competition authority

The Hungarian Competition Authority is intensifying efforts to address deceptive practices in the secondary sales of holiday rights, which continue to pose significant risks to vulnerable consumers, especially the elderly and financially burdened.


A Hungarian Competition Authority has conducted numerous investigations in recent decades into deceptive commercial practices related to the secondary sales of holiday rights. Despite active enforcement, these scams remain a significant threat, particularly to vulnerable consumers. To tackle the issue, the Authority initiated broad consultations with relevant organizations, leading to the discussion of potential solutions in a parliamentary committee.

Holiday rights in Hungary experienced a golden age around the turn of the millennium, creating a significant market that persists today. However, these rights often impose substantial costs on older consumers, who may find it challenging and costly to exit contracts. As a result, secondary sales of rights have become common, but they are rife with deceptive practices and scams.

Deceptive practices often involve presenting consumers with pre-prepared contracts at in-person meetings, leaving insufficient time for review. While initial discussions may suggest cash purchases of holiday rights, the contracts may actually include a system where the payment is debited as 'credit' in a company-operated purchase scheme. Additionally, consumers are often required to pay significant one-time fees, sometimes amounting to hundreds of thousands of forints, to enter the system, keeping them burdened with high costs associated with the holiday rights.

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