Section 75 or chargeback protection on payment to bank account.

Spud_Nick

Recently stung by company going into liquidation, but in that case I paid by credit card so was protected and got my deposit back.
New company doesn't accept card payments, only transfer to bank account, and looking for a way to protect my deposit.
Looks like PayPal 'direct to bank' will hit me with credit card cash withdrawal fee of 3% which is too much.
Wondering if section 75 protection would apply if I paid £100 with PayPal direct to bank and the rest with normal transfer from my bank account?
Would direct to bank even be covered? I would say there is a 'DCS' link as I have no way to use money for anything else in the middle.

born_again

No.
S75 does not cover money movements.

eskbanker

You can achieve section 75 coverage with any amount paid directly on a credit card for an item valued at over £100, i.e. you can even pay a penny by CC to get protected.

However, your scenario doesn't sound sufficiently direct to me, if you're paying by funding your own PayPal account, with the card deeming the transaction to be cash equivalent, so I imagine that the DCS chain would be deemed to be broken....

Spud_Nick

Thanks all for info. Regarding the PayPal direct to bank, I was referring to a feature using Xoom in case that makes any difference...
Any other ideas to get funds transferred to bank account with any level of protection greatly appreciated 👍

km1500

transfer to bank account gives no protection no matter how you fund the transfer. 

born_again

If you are using your CC to pay paypal & then pay the company.
In reality the link is irrelevant. As you have just moved money to paypal & as such there is no breech of contract. Between your CC & paypal.

tightauldgit

Spud_Nick said:

Recently stung by company going into liquidation, but in that case I paid by credit card so was protected and got my deposit back.
New company doesn't accept card payments, only transfer to bank account, and looking for a way to protect my deposit.
Looks like PayPal 'direct to bank' will hit me with credit card cash withdrawal fee of 3% which is too much.
Wondering if section 75 protection would apply if I paid £100 with PayPal direct to bank and the rest with normal transfer from my bank account?
Would direct to bank even be covered? I would say there is a 'DCS' link as I have no way to use money for anything else in the middle.

I don't really think there is. If you want to be protected perhaps find an alternative that will accept card payments? It's not that difficult in this day and age to take a CC payment in all honesty.