Paying Builders on Credit Card to get Section 75 protection

ojsimon

Hi,

I would like to pay my builders partially on credit card so that I am protected under Section 75.

The builders don't normally accept credit or debit cards and I understand paying by Paypal voids Section 75 protection.

Does anyone have any suggestions on how to pay the builders a payment on Credit Card which would make my contract eligible for Section 75 protection?

Thanks
Oliver

EarthBoy

ojsimon wrote: »

Does anyone have any suggestions on how to pay the builders a payment on Credit Card which would make my contract eligible for Section 75 protection?

You can't if the builders don't accept credit cards as a method of payment.

ojsimon

Is there no way I can pay it over another payment processor?

Any other way?

[Deleted User]

ojsimon wrote: »

Is there no way I can pay it over another payment processor?

Yes, but that gives you the Paypal problem.

ojsimon

How about Stipe?

Or using Paypal Credit Facility?

Silvertabby

Would your builders accept payment by credit card if you pay the handling fee (about 2%)? If they will, look on it as an insurance premium.

ojsimon

I would be happy to cover that. But they do not have a merchant bank account or card machine. Could I go through Stripe or another online processor and get the Section 75 protection?

YorkshireBoy

ojsimon wrote: »

I would be happy to cover that. But they do not have a merchant bank account or card machine. Could I go through Stripe or another online processor and get the Section 75 protection?

If there's a pre-existing debtor-creditor-supplier (D-C-S) relationship, which is the crux of the matter, then yes. Establishing this will give you your answer.

JuicyJesus

ojsimon wrote: »

I would be happy to cover that. But they do not have a merchant bank account or card machine. Could I go through Stripe or another online processor and get the Section 75 protection?

Probably not.

If they don't take cards, they don't take cards. Doing it through a workaround like Stripe brings the whole debtor-credit-supplier issue into view, which would mean any potential Section 75 claim would be dead in the water.

That they don't even have a merchant bank account is a bit worrying.

chanz4

JuicyJesus wrote: »

Probably not.

If they don't take cards, they don't take cards. Doing it through a workaround like Stripe brings the whole debtor-credit-supplier issue into view, which would mean any potential Section 75 claim would be dead in the water.

That they don't even have a merchant bank account is a bit worrying.

Not really you only need one if you accept cards, a lot of companys just have business bank accounts.