Paypal, Credit cards and Section 75 [refunds]

pbs_2

BFG wrote: »

IMO paying by credit card IS the best [and only] way; in fact if you can't involve your credit card somewhere in the purchase I would advise NOT purchasing.

No CC, No Buy.

Good luck.

The FSA/BO will probably tell you to go back to cc co and ask for deadlock or rejection letter, or hopefully they may tell you what bit of the regs to quote to them.



Phoned the BO today and they were very helpfull. They are sending me some forms to fill in and I am to send them a copy of the letter from Barclaycard refusing to take any action and then the BO will investigate for me. The BO said they receive many calls regarding paying with a credit card through Paypal. The BO say the credit card companies should be doing chargebacks, not wishing to count my chickens yet, but it does seem i may get all or some of my £500 back. Many thanks for all the advice everyone, will let you know the final result and what the BO has to say

BFG_2

Update from today wrt s75, continuous authority etc.....


One point to ensure you have the absolute best chance of succeeding is that when you ring to do a chargeback or a Section 75 refund you MUST say that the reason is for "breach or contract"

Try not to say agree to "misrepresentation" or let the ccc classify/twist it into anything other than 'breach of contract [BOC]'. If you don't use BOC it's highly likely thay the ccc will try to wriggle off the hook...........[yes, shocking but true!!]

To help understand the difference:

if you say 'there's this clause about £99/month hidden in the T&Cs' the ccc will say 'Ah that's a misrepresentation issue, and we're not helping' ie you should have seen it and it's therefore your fault. They would them insist upon you proving that this 'misrepresentation' amounted to enough to be a BOC, and that's generally a difficult issue for Jo public to do....so many drop it.

If you say 'they haven't actually delivered the items I agreed to purchase' or 'the goods were not fit for purpose' - then that's much more of 'BOC', and as such you can invoke Sect 75 straightaway...and get the payments stopped [and hopefully the others refunded].

My ccc actually wrote to me yesterday with new T&Cs and it specifically says they 'will not cancel one-off or recurring payments, you must contact the third party and ask them to stop collecting"...[ie ask the scammer to stop scamming - some chance lol ].

The OFT [I called them] says they are allowed to do this, but it doesn't absolve them of their Sec 75 obligations [as written in law] - thus they can refuse to stop scammers deductions, but you simply need to invoke BOC and Sec 75 to stop and reclaim. OFT says they may possibly refuse to stop whilst they investigate but once yuo invoke BOC/S75 they are duty bound to respond - and they are jointly liable, so you are entitled to ask THEM for all your money back, and not necessarily deal with the 'merchant/third party' [ie scammer].

So don't ask the ccc to stop the payments because you've 'been hoodwinked by smallprint' or 'you've changed your mind' or 'the saleman lied on the phone to me' or 'I didn't know what I was agreeing to'............................................... ...........make it clear the reason is BOC [hit google for good examples]

Sorry for the length, but make sure you get it right at the start!!!!!!!!

BTW..this is just my understanding at the moment, would welcome any validation/corrections....

pbs_2

After 5 weeks of sending and receiving letters from the financial ombudsman explaining everything in full and sending them Barclaycards Final response letter, which states they will do nothing to help, the FO have informed me they can do nothing to help. Under section 75 Barclaycard do not have to refund me simply because my 'contract' is with paypal. Barclaycard have fulfilled their part as their contract is with paypal (the merchant in their eyes) it is upto paypal to look into this and see if they will help me, but paypal have told me they will not help, it is down to Barclaycard. Bottom line is neither Barclaycard or paypal are willing to help when i have been sold faulty goods which are not fit for purpose, so I am around £700 out of pocket. Thanks for nothing Paypal and barclaycard


Phoned the BO today and they were very helpfull. They are sending me some forms to fill in and I am to send them a copy of the letter from Barclaycard refusing to take any action and then the BO will investigate for me. The BO said they receive many calls regarding paying with a credit card through Paypal. The BO say the credit card companies should be doing chargebacks, not wishing to count my chickens yet, but it does seem i may get all or some of my £500 back. Many thanks for all the advice everyone, will let you know the final result and what the BO has to say[/QUOTE]

SocrateS_2

Hi,

I've just googled for 's75 paypal refunds' and returned this topic. I hope nobody minds me resurrecting it, but I was wondering whether it was ever resolved and what the actual outcome is or was? Are Credit Cards liable if you purchase through paypal can you perform a chargeback or a s75 and if so do they have to reimburse or not?

Thanks and my apologies for waking this topic from the dead its just that it seems to have some knowledgeable replies and so I'm likely to get a reasonable answer - I hope

Thank you.

George_Michael

I don't know if anyone has had any successful sect 75 claims when paying via paypal, but I do know that the wording of the legislation itself hasn't changed, and this specifically states that for a claim to be considered, the payment must only involve 3 parties. (the buyer, the seller, and the credit supplier/card issuer).

75 Liability of creditor for breaches by supplier.
(1)If the debtor under a debtor-creditor-supplier agreement falling within section 12(b) or (c) has, in relation to a transaction financed by the agreement, any claim against the supplier in respect of a misrepresentation or breach of contract, he shall have a like claim against the creditor, who, with the supplier, shall accordingly be jointly and severally liable to the debtor.

By using Paypal, you are introducing another party, and the transaction would then become a debtor-creditor-money transfer-supplier agreement.

SocrateS_2

George_Michael wrote: »

I don't know if anyone has had any successful sect 75 claims when paying via paypal, but I do know that the wording of the legislation itself hasn't changed, and this specifically states that for a claim to be considered, the payment must only involve 3 parties. (the buyer, the seller, and the credit supplier/card issuer).



By using Paypal, you are introducing another party, and the transaction would then become a debtor-creditor-money transfer-supplier agreement.

Can I still protect myself and utilise the 'chargeback' facilities if I were to utilise the Visa Debit along with Paypal facility? It's just that I'm about to purchase an item and obviously wish to protect myself as much as is possible.

Many thanks.