Card company's liability - have I understood?

gbmud

I am looking at buying a laptop from an apparently private seller on Ebay. The only payment options available are personal cheque, postal order or banker's draft which means that I have no protection in the event of non-delivery etc.

I have a Virgin credit card and I keep getting sent 'credit card cheques' which I religiously shred - but I happen to have two here... Now, if I were to pay for the laptop using one of these cheques, would I benefit for the same rights as if I bought using a plastic credit card - i.e. if the laptop were not to arrive then Virgin would be jointly liable for the refund? The laptop is going to cost more than £100.

Is this an abuse of the system or merely a sensible use of the system?

Thanks

Chris

lisyloo

I'm not sure if the consumer credit act applies to second hand goods.

However for non-delivery you really should be using an insured delivery service.
I wouldn't send something worth more than £100 through the post without some fom of insurance and tracking.

neverdespairgirl

gbmud wrote: »

I am looking at buying a laptop from an apparently private seller on Ebay. The only payment options available are personal cheque, postal order or banker's draft which means that I have no protection in the event of non-delivery etc.

I'd be very, very careful about this if I were you.

gbmud

neverdespairgirl wrote: »

I'd be very, very careful about this if I were you.

Hence the question!

Chris

YorkshireBoy

Credit card cheques fall outside the scope of section 75 protection (as it says in the small print accompanying the cheques)

lisyloo

I'd be very, very careful about this if I were you.

It sounds like a lot of hassle to me so you really need to be pricing this in and getting a great discount for it to be worthwhile.

Firstly laptops do not really travel very well when they are chucked about ny couriers.
Secondly you have no guarantee how long it will last.
It might last 3 or 6 months and then tough..........

My recommendation would be to check out deals, check quidco and get one with a years guarantee, unless it's really cheap i.e. doesn't matter if it only lasts 6 months.

Otherwise it sounds just too risky.

If it doesn't work after being jiggled around by the courier then no-one will take responsibility as the seller will say "find when it left me" and the courier won't take responsibility so there are jsut too many risks to make this worthwhile IMO.

gbmud

Well, I have just called Virgin and asked. They assure me that a transaction made by credit card cheque will be treated in exactly the same way as one made using the card and that it benefits from the same protection (I asked specifically about section 75) as card transactions.

I checked the small print carefully and there is nothing relating to section 75 in there. Since it is also borrowing, how might it not be covered under section 75? I thought that was built in as part of the CCA?

Thanks for the words of caution. It really is a very good deal and one well worth the agro.. If I can then I will go and collect in person and pay cash after testing the unit. Postal insurance is included in the P+P price - FWIW...

Cheers

Chris

YorkshireBoy

gbmud wrote: »

Well, I have just called Virgin and asked. They assure me that a transaction made by credit card cheque will be treated in exactly the same way as one made using the card and that it benefits from the same protection (I asked specifically about section 75) as card transactions.

They don't know what they're talking about!

Since it is also borrowing, how might it not be covered under section 75? I thought that was built in as part of the CCA?

Because there isn't a "pre-existing arrangement that involves both the supplier and the credit provider" in place. See http://www.financial-ombudsman.org.uk/publications/ombudsman-news/31/creditcards-31.htm

gt94sss2

gbmud wrote: »

Now, if I were to pay for the laptop using one of these cheques, would I benefit for the same rights as if I bought using a plastic credit card - i.e. if the laptop were not to arrive then Virgin would be jointly liable for the refund?

[SIZE=-1]Credit card cheques are not covered by Section 75 of the CCA.

Regards
Sunil

[/SIZE]

lisyloo

If you still want to go ahead then ask virgin to put it in writing.
As for the name of the person you spoke to (including surname), keep a note of time and date and ask them whether the call is recorded.

Personally I think you are crazy considering going against all the advice you are being given on the say-so of chantelle at the call center.

poppy_f1

i got some credit card cheques in today from natwest and on the bumff included it does state that s.75 doesnt apply when using them

i would deffo get it in writing from them before proceeding