Credit Cards to Protect your Purchases


Everyone has, at some point, battled with retail staff when attempting to return a product they’re not happy with.

As the staff who deal with these kinds of issues are usually unaware of the official process, it can be down to the discretion of the manager to give you your money back, replace an item or do nothing. With the increasing power of social media it is becoming even easier to complain to big brands which may lead to bad PR on brands.

Legally, stores have to oblige to certain situations and allow you a refund, though getting them to agree to this can be tricky if you are unsure as to what your rights are.

Know your rights

If the item doesn’t work or broke very quickly after purchase, you are entitled to a refund.

Any shop, either online or in real life, must provide you with the service that you have paid for and with this must be done either by a quality item or a certain level of service. Furthermore, if you bought something online and the product you received wasn’t what you were expecting, you’re also due a refund.

Second-hand and discounted products are also covered by the Sale of Goods Act, which means that just because it’s at a reduced price or been used before, it must still comply with the law.

If you’ve bought something privately, or if you’ve just changed your mind, you are not necessarily entitled to a refund. The store may allow you a refund or give you a store credit note, but that’s entirely down to the managerial discretion in store.

When it comes to credit cards, the rules then change completely…

Section 75

Section 75 is a piece of credit card law which could save you £100s and £1000s in regards to your purchases.

This legislation is only included in the small print, so knowing about this can be very helpful indeed. It has been around for years but many are not aware of this part of the contract between a credit card company and them so has not been used until more recently.

As part of the Consumer Credit Act 1974, it is stated that credit card companies are “jointly and severally liable”. This means that if you purchase something with your credit card and there is a problem with the product, the credit company are liable to give you your money back.

This section can be implemented if you order an item and the retailer goes bust making it safer to order online with peace of mind; if the item never arrives; or if the item is faulty. There is a monetary limit however – the item must be worth between £100 and £30,000.

This could mean that if there is a product you are looking to buy between these values then you could protect yourself far more easily than if you were to purchase them with a debit card or cash.

4 Responses to Credit Cards to Protect your Purchases

  1. Pauline says:

    That is great to know about section 75, pretty sure they would make your life impossible before they finally give in and refund the money but at least there is that security.

  2. They have many of the same protections over here in the united states. It’s good to have that when you need it.

  3. Given how heavily we have come to rely on credit cards for our daily transactions, its certainly a relief to learn about this consumer protection laws in place. Perhaps to add, credit cards are also insured against abuse in case of loss or them with your liability extending to $50 of any fraudulent charges…at least in the US. This goes a long way in protecting the consumer against aggravated credit card fraud. The liability applies though only when you report theft or loss!

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