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Section 75: Your free credit card purchase protection

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When you spend money on your credit card you get extra consumer protection on your purchases. Find out more about Section 75 of the Consumer Credit Act and how it can provide you with additional peace of mind.

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What is Section 75?

Section 75 of the Consumer Credit Act is a piece of legislation that protects you when spending on your personal credit card, but itÌýonly applies to credit card purchases where you spend more than £100 but not more than £30,000. You don’t even need to have paid for all of your purchase on credit card to benefit either.

Say, for example, you booked a £1,000 holiday. The whole cost would be protected even if you only put a £100 deposit on your credit card and paid for the rest with cash.

Here are some other examples of when you would and wouldn't be covered by Section 75:

Would be covered:

  • If you buy a set of items that are designed to go together, such as a dining table and chairs or a settee and armchairs

  • If you take up a point-of-sale loan, also known as a 0% or buy-now, pay-later loan, to buy a pricy item such as a car

Wouldn’t be covered:

  • If you paid for a watch that cost £110, you would be covered by Section 75. However, if you bought two watches that cost £70 each, you would not be covered.

  • If you bought a lamp for £95 with a £7 delivery charge, you would not be covered by Section 75 because the item itself costs less than £100.

However, if your purchase costs £100 or less, or more than £30,000, or you pay using a debit card, youÌý shouldÌýclaim using the Chargeback scheme.

Likewise, if your purchase is not fit for purpose, as described or of unsatisfactory quality, you can claim a full refund under the Consumer Rights Act, which trumps Section 75 and Chargeback.Ìý

For more informationÌýÌý

When can you claim under Section 75?

There are two broad scenarios where you can make a claim under Section 75. These are:

  • Breach of contract: You do not get what you have paid for, or not to the standard specified. For example, an item you buy does not get delivered, or is delivered too late, such as if you were buying a birthday present and the agreed delivery date was missed..

  • Misrepresentation: You are given the wrong information, which convinces you to pay for a product. For example, you buy an expensive pair of headphones after being misinformed that they would be compatible with your music player.

You cannot, however, use Section 75 if you have changed your mind about something you have bought and want to return it without proof of purchase.ÌýIn this case, you should return the item – if purchased online, via mail order or over the phone, quoting the ‘distance selling regulations’.Ìý

Claims can be made for UK and overseas transactions and it doesn't matter whether the purchase was made in store, online, over the phone or by mail order.

How to claim under Section 75

You should always attempt to get a refund from the retailer before starting a Section 75 claim.

If your dispute with the retailer fails, you should contact your credit card provider to start your Section 75 claim.

It's worth noting that you can still claim under Section 75 if you closed your credit card account.

You need to tell your credit card provider:

  • The name of the retailer

  • The service or product you bought

  • How much it cost

  • Any other costs you want to claim back

  • What was wrong with your purchase - if it was faulty, for example

  • The date you made the purchase

  • Any attempts you have made to get money back from the retailer

You may get asked to send the details in writing, including proof of purchase, or by completing a Section 75 claim form, either online or by post.

Claiming for associated costs

Section 75 covers "consequential losses", as well as the cost of what you bought. This covers any costs caused by the problem with your purchase. For example, if you bought tickets for an event that got cancelled, you may be able to claim back your travel and hotel costs from your credit card company.

Does Section 75 apply if you use your credit card through Paypal?

No. Section 75 only applies where there is a direct relationship between a sum paid and the product.

When you pay through PayPal, you sometimes pay your funds to PayPal who then pays the retailer. So even if you use a credit card linked to your Paypal account, the PayPal service counts as a middleman and you don't have Section 75 protection. There are exceptions, however. If your payment goes direct to the seller and he, she or it has a ‘commercial entity agreement’ you may still get protection.

What about purchases on Apple or Google Pay?

Whether or not you get Section 75 protection for purchases on Apple or Google Pay depends on which card you are holding in your virtual wallet. If it’s a credit card, you’ll still get full Section 75 protection. If it’s a debit card you will only be able to use the Chargeback scheme to try to recover your money.

Does it matter if my partner made the purchase with a secondary card?

Yes. Section 75 only applies if the person who made the purchase was the primary cardholder.

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About Dan Moore

Dan Moore has been a financial and consumer rights journalist since the 1990s. He has won numerous awards for consumer and investigative reporting.

View Dan Moore's full biography here or visit the money.co.uk press centre for our latest news.