Section 75 - What is covered?

its_markc63

I purchased a second-hand caravan from a dealer in 2019 on my Barclaycard. In 2020 after bringing out of winter storage I found it had serious problems with water leaking. I took it back to the dealer who stated he would not touch it as it was out of his warranty but then recited a tale that he had taken the same make of caravan in for trade-in which had water damage. I immediately realised it was the same van he had sold me. I contacted Barclaycard to raise a Section 75. They were very slow to respond so I put the caravan in for repairs so it would not suffer any further damage just in case they did not uphold my claim and supplied the technician's report and costings. Fast forward a full 14 months and Barclaycard, after being nudged for what was going on, have come back with a final offer for just the repair costs that I have incurred. The problem is after picking this up from the repair shop and getting into the winter months I have noticed further water issues that were not obvious the first time around. I have attempted to push back with Barclaycard in regard to reimbursing the full purchase price of £9500, but they are insisting they will only cover the repair costs as it was financially viable to have it repaired. So question: Should I be entitled to a full refund or are Barclaycard correct in only offering the repair costs? I feel that I should have a full refund but not sure if I should be able to push for this?    

eskbanker

Section 75 just grants you the same rights against the card provider as you have against the merchant, and in situations like this, your rights will be governed by the Consumer Rights Act 2015.  This certainly doesn't grant you any automatic right to a full refund two years after a purchase, so if it was viable to have the caravan repaired then settling the claim for that cost seems like an appropriate resolution.

If you're only now noticing a further fault that wasn't visible in the previous two years of ownership, then that will create some challenges if you're going to try to claim that it's an inherent fault that was present at the time of purchase, rather than fair wear and tear since then.  Sounds like your next step should be to get an independent technician's report again?

Sandtree

After you own something for a month then the retailer (and so also your bank) can choose between repair, replace and refund. You can specify a preference however they can ignore the preference if its not economical for them compared to another remedy.

Also remember that after 6 months any refund can be reduced below original purchase price to reflect the use received to date.

If you've found more issues it does feel like a continuation of the first case rather than a failed repair by the retailer (or your bank) which would then trigger a right of rejection for a reduced refund. Given the timelines now though it may be a post purchase issue and considered a maintenance issue during your ownership of the secondhand caravan 

Nebulous2

Caravans are notorious for leaks and problems. They also sold very well earlier this year because of people wanting to stay at home instead of going abroad, though I don't have current knowledge of that, as prices tend to drop in the winter. 

Why don't you repair it and sell it, which could get you most of your money back? 

its_markc63

Thanks Eskbanker. The issue is that I notified the retailer of the issues within 12 months of making the purchase but they were unable to accept the van back for 6 months and then said they were not prepared to repair it due to the 'perceived cost'. My claim under Section 75 was raised at this point, but as Barclaycrds own admission, they then had overlooked my claim which pushed it over the 2.5 year mark. The repairs were only implemented due to this delay by Barclaycard and as I was concerned that should they refuse to cover my claim I needed to make sure that the van did not incur further damage. The delay and cost are purely down to Barclaycard dragging their heels, hence my query and annoyance that I am in this situation.

eskbanker

The fact that Barclaycard have been tardy with their response still doesn't oblige them to offer you a full refund, so you're still in the position of having to make a case that your consumer rights require any residual faults to be remedied at the merchant's (or card company's) expense.

bris

It's also a second hand caravan when purchased so you have to factor in the age of the caravan, fair wear and tear is an easy excuse for them to make things difficult.

born_again

I take it that after the 1st repair that you signed a full & final settlement agreement?

Given you have had one fix, can you prove the new leaks, were part of the original problem & not fixed before, or are they new leaks? That is something you will have to prove that were part of the original problem.

S75 is not a insurance policy to cover ongoing repairs.