What is Section 75 of the Consumer Credit Act?

Section 75 of the Consumer Credit Act 1974 makes your credit card provider jointly and severally liable with the retailer for any breach of contract or misrepresentation. This means if the goods are faulty, not delivered, or the retailer goes bust, you can claim a full refund from your credit card company for purchases between £100 and £30,000.

Does Section 75 apply to debit card purchases?

No. Section 75 only applies to credit card purchases. Debit card purchases are covered by a separate scheme called chargeback, which is a voluntary scheme operated by banks rather than a legal right. Chargeback can cover transactions of any amount but has stricter time limits and is not legally enforceable in the same way.

What if I only paid part of the purchase on my credit card?

Section 75 applies even if you only paid a deposit or a partial amount on your credit card, as long as the total value of the item is between £100 and £30,000. The credit card company is liable for the full amount of the loss, not just the amount you paid on the credit card. This is a powerful protection — you could pay just £1 on your credit card and the rest in cash, and the card provider would still be liable for the full purchase price.

What types of purchases are covered by Section 75?

Section 75 covers most purchases of goods and services from a UK trader. This includes physical goods, services, holidays, flights, concert tickets, and digital products. The credit does not have to be provided by the retailer themselves — paying via a third-party payment processor like PayPal or Amazon Pay generally does not break the debtor-creditor-supplier link, but this area of law is complex and has been subject to court rulings.

How long do I have to make a Section 75 claim?

There is no statutory time limit for Section 75 claims, but you should make your claim as soon as possible. The Limitation Act 1980 generally gives you 6 years (5 in Scotland) from the date of the breach of contract to bring a claim. However, the longer you wait, the harder it may be to gather evidence. Most card providers expect claims to be made within 120 days of the problem arising.

Section 75 Credit Card Claim: How to Get a Refund UK 2026

Section 75 of the Consumer Credit Act 1974 is one of the most powerful consumer protections in UK law. It makes your credit card provider jointly liable with the retailer if something goes wrong with your purchase. Whether the goods never arrive, the company goes out of business, or the item is faulty and the retailer refuses to help, Section 75 can be your route to a full refund — even if the retailer has disappeared.

What Exactly Is Section 75?

Section 75 of the Consumer Credit Act 1974 states that where a debtor (you) uses a credit card to purchase goods or services, the creditor (the credit card company) is jointly and severally liable with the supplier for any breach of contract or misrepresentation. In plain English: your credit card company shares responsibility with the retailer. If the retailer has done something wrong — supplied faulty goods, failed to deliver, misrepresented the product, or gone bust — you can claim your money back from the credit card provider directly.

Does Your Purchase Qualify?

For Section 75 to apply, your purchase must meet these conditions:

The total cash price of the item must be between £100 and £30,000. The £100 threshold applies to the item price per item, not the total transaction. If you buy two items at £60 each, Section 75 does not apply even though the total is £120. But if you buy one sofa at £800 and put £50 on your credit card and the rest in cash, Section 75 applies — the card company is liable for the full £800.
You must have used a credit card directly for at least part of the payment. Credit cards only — debit cards and prepaid cards do not qualify for Section 75 (though chargeback may be available). The credit does not need to have been provided under a formal credit agreement with the retailer. Paying with a credit card through PayPal may complicate things — courts have held that the debtor-creditor-supplier chain may be broken when a third-party processor sits between you and the retailer.
There must be a breach of contract or misrepresentation by the retailer. Section 75 is not a general insurance policy. You need to show that the retailer breached the contract — e.g., goods not delivered, goods faulty, goods not as described, or the retailer made a false statement that induced you to buy.

How to Make a Section 75 Claim: Step-by-Step

Contact the retailer first. Section 75 does not require you to exhaust your remedies against the retailer first, but most card providers will ask what steps you have already taken. Give the retailer a chance to put things right — send a formal complaint, give them a reasonable deadline, and keep copies of all correspondence.
Gather your evidence. You will need: proof of the credit card transaction (your statement), the receipt or invoice showing the total price, any correspondence with the retailer (emails, letters, chat logs), evidence of the fault or breach (photos, independent reports), and your credit card number.
Contact your credit card provider's disputes team. Call the number on the back of your card and ask to make a "Section 75 claim". Most major providers have dedicated disputes departments. Explain what happened, provide your evidence, and state clearly that you are claiming under Section 75 of the Consumer Credit Act 1974.
Follow up in writing. Even if you start by phone, confirm your claim in writing (email or letter). Keep a record of when you contacted them and who you spoke to.
Be persistent. Card providers may initially try to fob you off. Remind them of their legal obligation under Section 75. If they refuse, ask for a final response letter — you will need this to escalate.
Escalate to the Financial Ombudsman Service (FOS). If the card provider rejects your claim or takes more than 8 weeks to respond, you can complain to the FOS. The FOS is a free, independent service that can order the card provider to pay your claim. You must escalate within 6 months of receiving the provider's final response.

Common Scenarios Where Section 75 Helps

Retailer goes bust. If you paid for a kitchen and the company went into administration before installation, your credit card provider is liable.
Holidays and flights cancelled. If an airline collapses or a tour operator cancels your holiday, Section 75 can cover your losses. Note that ATOL protection also applies to package holidays, but Section 75 may provide an additional route.
Goods not delivered. If you ordered furniture online and it never arrives, and the retailer is ignoring your emails, you can claim from your card provider.
Faulty goods and the retailer refuses to help. If your laptop breaks after three weeks and the shop refuses a refund or repair, Section 75 makes the card provider jointly liable.
Misrepresentation. If you were sold a car described as "one careful owner" but it turns out to have been in a major accident, the misrepresentation triggers Section 75 liability.

Section 75 vs Chargeback: What is the Difference?

Chargeback is a separate scheme operated by Visa, Mastercard, and American Express. Unlike Section 75, chargeback is a contractual arrangement, not a statutory right. Key differences:

Chargeback covers debit cards as well as credit cards; Section 75 covers only credit cards.
Chargeback has no minimum or maximum transaction amount; Section 75 applies to purchases between £100 and £30,000.
Chargeback typically has a strict time limit of 120 days from the transaction or from when you became aware of the problem; Section 75 has no statutory time limit (though 6-year limitation applies).
Chargeback is not legally binding — the bank can refuse. Section 75 is a legal right you can enforce in court.
For claims above £30,000, Section 75 does not apply — chargeback may be your only option.

Limits and Pitfalls

Section 75 is powerful but not limitless. Important things to watch out for:

Third-party payment processors. Paying via PayPal, Worldpay, or similar may break the direct debtor-creditor-supplier link. The law in this area has evolved through cases such as Office of Fair Trading v Lloyds TSB Bank. If you used PayPal, you may need to rely on PayPal's buyer protection instead.
Transactions abroad. Section 75 applies to UK credit cards used for purchases from overseas traders, but enforcement against an overseas retailer may be more difficult.
Business credit cards. Section 75 does not generally apply to business or corporate credit cards — only consumer credit agreements are covered.
Cash withdrawals. If you withdraw cash on your credit card and use it to pay, Section 75 does not apply because there is no debtor-creditor-supplier link.

FAQ

Can I claim under Section 75 and also get a refund from the retailer?

No — you cannot recover twice. If you receive a refund from the retailer (or your card provider), you cannot also claim the same loss from the other party. Section 75 makes the card provider jointly liable, meaning you can claim from either, but not both for the same loss.

What if my credit card company says "it is not our problem"?

If your card provider refuses your Section 75 claim, ask for their decision in writing (a "final response" letter). You can then complain to the Financial Ombudsman Service, which is free and can order the provider to pay. You can also consider issuing a claim in the county court.

Does Section 75 cover airline failure when I booked through a travel agent?

If you paid the travel agent by credit card and they are the party you contracted with, Section 75 should apply against the card provider if the travel agent is in breach. If you paid the airline directly via the agent, the situation may be more complex. ATOL protection may also apply if it is a package holiday.

Can Section 75 cover consequential losses (e.g., hotel costs because a flight was cancelled)?

Section 75 covers the direct loss from the breach of contract — the cost of the goods or services you paid for. Consequential losses (additional costs you incurred as a result) are not typically covered under Section 75, though you may be able to claim them separately from the retailer through the courts. Some card providers offer additional travel insurance benefits that may cover such costs.

Authoritative Sources

Consumer Credit Act 1974, Section 75 — the full legislative text
Financial Ombudsman Service — free dispute resolution
Citizens Advice — Section 75 claims
Which? — Section 75 guide
UK Finance — the banking industry body

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