What is Section 75 of the Consumer Credit Act?

Section 75 of the Consumer Credit Act says that your credit card provider has shared responsibility for any breach of a contract made between you and a retailer or trade company.

If, for some reason, you have bought a product or a service that has a problem and the retailer/trader doesn’t want to fix it, you can go to your credit card company to get your money back. 

How does Section 75 of the Consumer Credit Act work?

To use Section 75 of the Consumer Credit Act, the product or service you have bought must cost over £100 and less than £30,000. 

You don’t need to have paid for the product or service in full to claim it. 

IMPORTANT NOTE: If you are making big purchases, using a credit card can be advantageous. You have not only the protection of Section 75 but also other rewards, cashback and even air miles. Having a credit card can also help you build your credit score to help you with loans you might need in the future, for example. 

Latest Deals have many guides to help you understand more about credit cards: 

• Latest Deals’ Credit Card Tips Guide. 
• Latest Deals’ How do credit cards work? Guide. 
• Latest Deals’ How to choose the best credit card for you? Guide. 

What does Section 75 of the Consumer Credit Act cover? 

Section 75 of the Consumer Credit Act covers a wide range of products and services, you can make a claim if you didn’t receive them, or they weren’t as described when you received them. 

You can make a claim if you have bought the product or service online, by telephone, by email inside the UK or overseas. 

What doesn’t Section 75 of the Consumer Credit Act cover? 

Section 75 of the Consumer Credit Act doesn’t cover a purchase made using another payment company that links your credit card company to the retailer.

The only exception to this is PayPal, as long as the retailer has a Commercial Entity Agreement with PayPal. PayPal also has buyer’s protection.

Section 75 of the Consumer Credit Act doesn’t cover if the product is still under warranty with the manufacturer, which you will need to contact first to resolve a faulty purchase. 

Section 75 of the Consumer Credit Act doesn’t cover if the credit card provider and the retailer are the same company. This usually happens when a big retailer store also offers credit cards, such as Amazon, Argos and others. 

IMPORTANT NOTE: If you have made a purchase that in total comes to £100 to £30,000 but the individual products or services are less than £100, you won’t be able to use Section 75 of the Consumer Credit Act. 

Things to know about Section 75 of the Consumer Credit Act 

• You must have made the purchase using your credit card directly with the retailer. The only exception is by using PayPal and, in some other cases. 

• If the problem is a faulty product, Section 75 doesn’t apply if the product is still under warranty with the manufacturer. You need first to try to get it replaced or repaired with them. 

• The £100 minimum amount just counts for a single item. If you buy one product or service for £100, you are covered, but if you buy two products or services for £50 each and the total bill is £100, you are not covered. 

• To be covered by Section 75, you need to be the primary cardholder when making a purchase. For example, if you lend your credit card to someone and they make a purchase in their name, depending on the case, they are very unlikely to be covered by Section 75. Or, if you have a credit card that has more than one cardholder, it’s always better to make the purchase in the name of the primary cardholder. 

• To be covered by Section 75, the credit card provider and the retailer can’t be the same. For example, if you purchase items on Amazon with an Amazon Credit Card, you are not protected. The same applies to other retailers that provide credit cards. 

How can I claim using Section 75 of the Consumer Credit Act?

Keep in mind that claiming using Section 75 of the Consumer Credit Act shouldn’t be your first option. 

First, you should always try to get a refund from the retailer. If you can’t, after multiple attempts, then you can claim using Section 75 of the Consumer Credit Act. Section 75 is useful if the retailer went out of business or didn’t respond to your calls and emails. 

Step 1: Contact your bank or credit card company

The first step is to reach out to your bank or credit card company and ask them for a claim form. 

You need to be specific and tell them that you are claiming using Section 75 of the Consumer Credit Act.

Step 2: Fill your claim form 

The second step is to fill your claim form with as much information as possible. You need to write about all the attempts you have made to get a refund directly from the retailer. Also, you need to write about how the retailer has failed to provide a good product or service. You can read our guide about consumer rights to learn more about what to expect from your retailer. 

You can add to your claim form:

• The proof of purchase
• Any terms and conditions of the purchase
• Evidence that proves that the product or service had problems.
• All the communication between you and the retailer. 

Then you need to wait and see what your bank or credit card company has to say about your claim and if they will approve it or not. If they approve, you can expect a refund in the next few days after the confirmation. 

If they don’t approve, you should go to the Financial Ombudsman Service. We have a complete guide to help you to complain to the Financial Ombudsman Service. Read more about it here. 

Before reaching out to the Financial Ombudsman Service, you can ask your bank or credit card company for a letter of deadlock. If you have been waiting for a response to your claim for more than 8 weeks, you don’t need this letter. 

Does Section 75 of the Consumer Credit Act apply to debit or prepaid cards?

Unfortunately, Section 75 of the Consumer Credit Act does not apply to debit or prepaid cards. But you may still have some protection for debit and prepaid cards. This protection is called Chargeback, offered by American Express, MasterCard and Visa.

• Learn more about Chargeback with Visa. 
• Learn more about Chargeback with MasterCard. 
• Learn more about Chargeback with American Express. 

 If you use your debit card or prepaid card to purchase a product or a service, and something goes wrong, you can still claim your money back. 

Different from Section 75, in which you need to have made a purchase from £100 to £30,000 to use it, there is no minimum or maximum spending for claims using Chargeback. But you have 120 days to make a claim from the day you have noticed the issue. 

You will need to follow the same process to claim your money back, but this time instead of asking for a claim using Section 75 of the Consumer Credit Act, you will ask for a claim using Chargeback.

You might be able to use Chargeback for a credit card purchase if the purchase is less than £100 and it’s not protected by Section 75.

You can only use this:

• if the retailer is out of business;
• if the product was faulty or not delivered;
• if there was a technical problem with the card or a clerical error such as you were charged multiple times;
• if it has been a fraud. 

IMPORTANT NOTE: Chargeback is not a legal requirement like Section 75, so there is no guarantee that you will get your money back. 

FAQ