Section 75 and credit cards

juliankv73

Hi

I have always maintained my credit card accounts, and tend to keep one or 2 for a fews years, one for emergencies and the other I spend on etc and pay off.

My question is this, I have made some expensive purchases on my credit cards, that were immediately or soon afterm, paid off.

Do I need to keep the crexdit card account open i.e Zero Balance so that my rights ujnder S75 remain in force?

I was told years ago by Halifax, that if I closed my halifax credit card, my rights under Section 75 close with it.

Having bought in part (car parts) or in full (triple glazing) on my current credit card and have a zero balance now, do I need to keep them open "just in case" I have any problems and can then use the Section 75 as a backup if I have any issues???

Thanks

g6jns_2

juliankv73 wrote: »

Hi

I have always maintained my credit card accounts, and tend to keep one or 2 for a fews years, one for emergencies and the other I spend on etc and pay off.

My question is this, I have made some expensive purchases on my credit cards, that were immediately or soon afterm, paid off.

Do I need to keep the crexdit card account open i.e Zero Balance so that my rights ujnder S75 remain in force?

I was told years ago by Halifax, that if I closed my halifax credit card, my rights under Section 75 close with it.

Having bought in part (car parts) or in full (triple glazing) on my current credit card and have a zero balance now, do I need to keep them open "just in case" I have any problems and can then use the Section 75 as a backup if I have any issues???

Thanks

I could say they are telling porkies but it is more likely to be an uninformed staff member. You do not lose your rights as they suggest but in practical terms if the account remains open it might be easier to claim if you need to. Otherwise just keep a copy of the relevant statement and the bill as proof.

thenudeone

The correct answer is - legally, you don't need to keep the account open for a s75 claim.

In practice, if the account is still open, the card company can help in other ways, for example making a chargeback through the card system (for a limited period), which they either won't be able to or be keen to do if you are no longer a customer.

InsideInsurance

Legally you dont need to, their liability is created at the point of purchase not at the point of needing to make a claim.

That said, similar to thenudeone's comments, how the claim is handled may be changed by your current relationship with you. S75 doesnt require them to be nice or pay it unchallenged, if you are a fantastic customer, making nice big profits for them etc then they may be more willing to give the benefit of the doubt. If you are a lost customer then they may challenge everything that they reasonably can (and a few things they cant just to push their luck)

I am sure some, eg Barclays, wont do this, I know that some, eg Handelsbanken, will