Section 75 purchase Please help!

chrissy456 · 29 July 2013 at 2:56PM

Hi everyone

I really need some help and advice on the following issue.

I purchased a car for £4000 on two credit cards and a debit card, I paid £250 on Credit Card 1, and £750 on Credit Card 2 and the rest on a debit card. Later on there was a fault on the car and I claimed under section 75 for misrepresentation. Credit Card 1 quickly provided me a settlement, saying they would pay their percentage of the liability for the repair, based on the amount I paid for with their credit card.

I accepted this settlement from Credit Card 1 for part amount for the repair, expecting Credit Card 2 to repay the rest but then later on it turned out that the repair cost was much higher, I still have to settle with Credit Card 2 who want me to accept a percentage liability for the repair based on the amount I used to pay for with their card. This means I won't be able to get the full repair cost back. can I claim for the whole amount of the transaction? Credit Card Company 2 is trying to get me to accept a small amount towards the repair based on a percentage of their liability.

Please help! What are my rights? Thanks

Chris

thenudeone · 29 July 2013 at 4:11PM

There is no proportionate liability in respect of s75.

You can choose to claim for the FULL cost of the breach of contract from any party or all three (i.e. the supplier or any one of the credit card companies used), but you won't get back more than 100% of the costs of the breach.

You do not have to accept a proportionate settlement.

The card companies are just fobbing you off, since they HATE s75 and will try anything to get out of paying up.

Since you already appear to have made an agreement with the first company, tell the second company that they are jointly liable for the whole breach and you expect them to pay ALL of the outstanding costs (i.e. less what you have already received).

dalesrider · 29 July 2013 at 6:55PM

thenudeone wrote: »

There is no proportionate liability in respect of s75.

You can choose to claim for the FULL cost of the breach of contract from any party or all three (i.e. the supplier or any one of the credit card companies used.

Well if you could claim back form the supplier.... You do not need S75.....

Its only fair that CC's spread the load.

Op must have explained the situation and would have been advised by both CC re how they will deal.

What I do not get is why given the OP did not know the cost of the repair did they agree to one % payout.
Should have waited till it was all sorted.

chattychappy · 29 July 2013 at 7:22PM

dalesrider wrote: »

Its only fair that CC's spread the load.

Joint and several liability means ANY party can be held fully liable for the entire amount. It is "only fair" that CCs don't attempt to avoid their legal liabilities. It is likely (in my view) that the FCA will tighten up on this sort of thing when they take over the regulation.

The remedy for the CCs is to deal with each other (and the merchant) who they "chose" to be in contract with when they authorised the transactions. Or lobby for repeal of S75.

chrissy456 · 17 August 2013 at 10:44AM

Hi

Can I only claim the cost of repair for the car or can I claim back the
full purchase price of the car?

Section 75 purchase Please help!

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