Section 75 Protection

captain747

Hi guys,

Wanted some advice. I'm about to buy a car on credit card.

I intended to pay the deposit (£200) using one credit card, and the balance using another credit card.

The question is: If something was to go wrong with the car at a later date and I needed a Section 75 claim, would using two credit cards give me added protection?

I'm guessing I would have the option to claim from either/both of the credit card companies? Or will it make things more complicated as both companies would try and shirk of their responsibility to one another??

I could easily pay using just one card, but the above was just a thought for added peace of mind...

Many thanks in advance...

Nick:j

YorkshireBoy

I'd use just the one card, for the reasons you've already identified.

However...

1) Will the dealer take full payment by credit card for the car? Many have a fairly low limit for credit card payments due to the fees the incur. You do know you'll still enjoy section 75 protection even if you only pay a deposit on a credit card (subject to certain conditions) and the rest by debit card/cheque/etc?

2) When you say "if something was to go wrong with the car at a later date", you do realise that section 75 protection doesn't offer you a warranty on the car? It covers you for 'misrepresentation' and 'breach of contract' only.


Further reading: http://www.financial-ombudsman.org.uk/publications/ombudsman-news/31/creditcards-31.htm

captain747

Hi,

Thanks for this.

Yes the dealer is happy to accept full payment with credit card subject to a 2% fee, which will be passed on to me. I'm happy to pay it as I currently have a 0% credit card! Not sure I can earn that much money in interest in 13 months mind you!

I'm aware that s75 is not a warranty. In fact, the car will come with a 3 month warranty. I just wanted added peace if mind in case something major mechanical went wrong and the warranty company wriggled out. Is 'fitness for use' not another thing that can be claimed in addition to what you mentioned??

Cheers

captain747

Oh, btw, you say subject to conditions- what conditions would these be??

Thanks

opinions4u

Pay the deposit on credit card. That books your S75 protection.

Pay the rest in a way that doesn't cost you the extra 2%.

Helpful money saving tip of the day.

captain747

So am I right in assuming that I would be fully covered under Section 75 even if I pay the £200 by credit card?

Are there any exceptions where this would not apply?

YorkshireBoy

captain747 wrote: »

So am I right in assuming that I would be fully covered under Section 75 even if I pay the £200 by credit card?

Are there any exceptions where this would not apply?

I provided a link to further reading earlier in the thread, which will answer all questions asked so far. Why not read it?

McKneff

You can pay as little as £1 on credit card and it protects you for the whole purchase.