Google pay s75

Former_MSE_Sarah_G

Having been in touch with the Financial Ombudsman, it confirms Google Pay is essentially a third party. This means Section 75 is "unlikely to apply".

PRAISETHESUN

Unless you are paying Google directly, I would echo the above comments in saying it's quite likely to remove section 75 protection as the debtor-creditor-supplier link has been broken

glider3560

MSE_Sarah_G wrote: »

Having been in touch with the Financial Ombudsman, it confirms Google Pay is essentially a third party. This means Section 75 is "unlikely to apply".

I think FOS have misunderstood how Google Pay works. They do not handle the money. Your card issuer issues a virtual card (via the Google Pay app) and the payment request goes directly to them. Google Pay are not involved in any part of the transaction.

System

PRAISETHESUN wrote: »

Unless you are paying Google directly, I would echo the above comments in saying it's quite likely to remove section 75 protection as the debtor-creditor-supplier link has been broken

Google only facilitate the transaction - they don't break the link.

Samsung_Note2

Just remember S75 can have a negative impact on your credit file (that your credit not the made up number) as it can and is interpreted differently by CRA"s.

Just had a lengthy discussion on the rights and wrongs of this with FOS.

eskbanker

Samsung_Note2 wrote: »

Just remember S75 can have a negative impact on your credit file (that your credit not the made up number) as it can and is interpreted differently by CRA"s.

Just had a lengthy discussion on the rights and wrongs of this with FOS.

News to me that a s75 repayment (or unsuccessful claim) would even be visible as such to CRAs, how would that work then?

Gentoo365

MSE_Sarah_G wrote: »

Having been in touch with the Financial Ombudsman, it confirms Google Pay is essentially a third party. This means Section 75 is "unlikely to apply".

I can't believe this.

Either the person you spoke to guessed or the FOS is just wrong.

Are you an employee of MSE?, if so I think that it would be worth getting clarification on this from a legal expert, Google and the credit card companies.

The legal argument will be more complex but the basic jist is that with Paypal you are paying Paypal, and Paypal are paying the merchant. However with Google Pay you are using a phone, but the card issuer are dealing with the merchant.

As an example, with paypal you it does not matter what credit cards the retailer accepts, they just accept paypal, then you can pay with an AMEX. However with Google Pay if the retailer does not accept AMEX you cannot use an AMEX card.

So there is a more direct connection.

chattychappy

Gentoo365 wrote: »

I can't believe this.

Either the person you spoke to guessed or the FOS is just wrong.

Yep. Sounds like somebody with a dodgy media studies 2:2 from a dodgy university whose so excited to get a first job in the press office.

S75 refers to a transaction financed by a relationship. Unless the money passes through google's hands, then the chain isn't broken. As I understand it (and as discussed) there is just a tokenisation thing going on. Different from Paypal (and even that is a grey area).