Section 75 query/car purchase advice

infamousurge · 10 December 2018 at 7:25PM

Hi all,

Sorry if this is in the wrong forum, but I was hoping for some advice on credit card purchases with regard to a second hand car...

I don't think I've handled this situation very well, and probably acted quite naively...so any suggestions are welcome.

A little background...

We visited a 'garage' for a test drive last week, and decided that we loved the car, and it was a good price. We decided to buy.

For whatever reason, the guy couldn't/wouldn't accept card payment on the day, claiming that his card terminal wasn't working. He insisted on a bank transfer. We didn't expect this, and told him that we hadn't got a card reader, so could only transfer a small deposit. The rest we could transfer when we got home.

He agreed (!!)

We took the car, with a small deposit, and transferred the balance (minus £100) that evening, in return for him sending the registration documents etc.

I called him the following day to make the £100 card payment, specifically wanting to pay on credit card to ensure a bit of protection, only to be told that he didn't want to pay the bank charges on the £100...seemed dodgy, but I suggested paying him £105 to cover the 'charges' ...he called me back later and then claimed that his terminal was only chip and pin and he would only accept another bank transfer.

My questions is, firstly, is this as dodgy as it sounds? Granted, I have the car. But I'm concerned with his repeated reluctance to take card payments. Why would he not accept credit card payments?

Secondly, is there a way of sending a credit card payment over to him? I have his bank details, but if I've understood the Section 75 articles correctly, paypal is considered a third party, and I'm not aware of any credit card fund transfer facilities which provide the Section 75 protection??

Thirdly, is it worth driving 150 miles to pay the balance on credit card, knowing full well that his terminal might be izettle/something not covered by Section 75?

Sorry for the essay...

Thank you in advance,

Andy

[Deleted User] · 10 December 2018 at 7:30PM

He can choose to accept any method he wants - and equally refuse them.

If he doesn't want to accept a card payment, then you can't pay by card.

It doesn't sound dodgy. Just disorganised or not wanting to pay the fees.

jonesMUFCforever · 10 December 2018 at 7:45PM

Sorry but I disagree - if he had a terminal but it wasn't working suggests to me financial problems at the dealership!!
Now that you have made payments by bank transfer you are a sitting duck with no hope of getting any consumer protection if things go wrong.

eskbanker · 10 December 2018 at 7:50PM

jonesMUFCforever wrote: »

Now that you have made payments by bank transfer you are a sitting duck with no hope of getting any consumer protection if things go wrong.

As I read it, there is still an outstanding balance which OP remains keen to pay by CC in order to to secure s75 protection - this CC payment can theoretically be as low as a penny (which would keep the dealer's fees down!) as long as the car itself is priced above £100, as it undoubtedly will be....

eco_warrior · 10 December 2018 at 11:22PM

Personally I’d avoid making the purchase

maxximus75 · 11 December 2018 at 6:06PM

It sounds like he hasn't paid his merchant fees and the facility has been withdrawn for the garage to use?

k3lvc · 11 December 2018 at 6:10PM

maxximus75 wrote: »

It sounds like he hasn't paid his merchant fees and the facility has been withdrawn for the garage to use?

Or that he knows the history (or lack of it) of the car and wants a simple cash transaction without giving the OP any potential comeback - particularly if the OP has explained why he wants to use his CC

eddddy · 12 December 2018 at 9:45AM

So you've got the car and paid most of the price - it's just the final £100 to pay.

If the dealer agreed to take the final £100 by CC, before you agreed to buy the car, that makes it a condition of the contract. (And perhaps you would not have bought the car, if the dealer hadn't agreed to accept £100 by CC.)

So the dealer is breaching the contract.

But it sounds like you're not in a strong position to do anything about it now. You could attempt to cancel the contract because of the breach, and give the car back. But how willing would the dealer be to give you your money back?

Samsung_Note2 · 12 December 2018 at 10:20AM

Sounds like a dodgy dealer..had a couple of dealers in Luton try this,and after i said its CC or no sale he nearly fell over his feet to get his terminal.

Glad i paid on CC as car was a heap of steaming poo...returned and demanded refund,doubt while i have breath in me id have got the cash back if id have gone down that route.

MrsElliotbrown · 15 December 2018 at 2:16AM

Hi
Apologies for hijacking your post... I bought a car from.a 2nd hand dealer in beford.. Turns out theres all sorts wrong with it that werent declared at/before the point of sale

None so far have caused the car to.become dangerous to drive, but they are all expensive to fix... Including the lack.of heating in the car..

Can i take the car back.and get a full refund? Can i use the section 75 rule to help move this.along?

Much thanks
(new.to this.and am.not sure how to set up a new thread)

Terry_Towelling · 16 December 2018 at 9:01PM

MrsElliotbrown wrote: »

Hi
Apologies for hijacking your post... I bought a car from.a 2nd hand dealer in beford.. Turns out theres all sorts wrong with it that werent declared at/before the point of sale

None so far have caused the car to.become dangerous to drive, but they are all expensive to fix... Including the lack.of heating in the car..

Can i take the car back.and get a full refund? Can i use the section 75 rule to help move this.along?

Much thanks
(new.to this.and am.not sure how to set up a new thread)

Firstly, let me make it clear, I am no legal expert but am happy to give the following opinion.

If the car was not of merchantable quality (and it sounds like it wasn't) you have rights under consumer law to have the problems remedied - unless you were told of the problems before buying, and the price paid reflected that.

S75 doesn't provide any protection in itself against problems, it just provides an additional avenue for contractual disputes to be resolved.

So, if you paid by credit for your car and that credit was arranged by the dealer or paid by credit card, you may have the right (subject to a few other criteria) to ask the credit provider and/or the dealer to pay out if the car dealer is in breach of contract or has misrepresented something. You would need to prove your case of course and if no one agrees to pay out you might need to go to court to get a judgement.

Whether you have the right to full reimbursement is not certain; you may be limited to having the problems resolved/paid for. That said, there is provision in law for you to reject a purchase, return the item and ask for a refund but I am not sure how/when that would apply. You'd need to take legal advice before doing something like that.

Section 75 query/car purchase advice

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