What Is Section 75 Protection?

When a holiday firm collapses, a sofa never arrives, or an expensive gadget turns out to be faulty and the retailer stops replying, many people assume their money is gone. If you paid by credit card, it often is not. A piece of UK law called Section 75 can make your card provider step in and refund you, even when the shop itself will not. It is one of the strongest consumer protections in the country, yet many people have never heard of it. This guide explains what Section 75 is, what it covers, the limits that apply, and how to use it. This is general information, not financial advice.

What Section 75 protection is

Section 75 of the Consumer Credit Act 1974 makes your credit card provider jointly and severally liable, alongside the retailer, when a purchase made on the card goes wrong. In plain terms, the card company is treated as equally responsible as the seller, so if the seller breaches the contract or misleads you, you can claim your money back from the card company instead.

The logic is that the credit provider profits from facilitating the sale, so it shares responsibility for it. This makes Section 75 fundamentally different from a refund offered out of goodwill: it is a legal right, and your card provider cannot simply decline because it would rather not pay.

Crucially, this protection applies even if the retailer has gone out of business entirely. When a company collapses, chasing it directly is often hopeless, but your solvent card provider remains on the hook. That safety net is why paying for large or risky purchases by credit card is so often recommended.

Section 75 turns your credit card provider into a guarantor of sorts. If the seller fails you, the law lets you turn to the card company instead.

What it covers

Section 75 applies where there has been a breach of contract or misrepresentation by the retailer. Typical situations include:

• Goods that are faulty or not of satisfactory quality.
• Items not as described, where what arrives differs materially from what was advertised.
• Goods or services never delivered, including bookings for events or travel that do not happen.
• A trader going bust before fulfilling the order, such as an airline, furniture shop or builder taking a deposit and then ceasing trading.

In each case you can claim the amount you lost from your card provider. Because the provider is jointly liable, your claim can even cover certain consequential losses flowing from the breach, not just the original price, though those can be harder to prove.

The price limits that matter

Section 75 does not apply to every purchase. There is a clear price window:

• The single item or service must cost more than 100 pounds (the protection does not apply at exactly 100 pounds or below).
• It must cost no more than 30,000 pounds.

Two points often surprise people. First, the limit is based on the cash price of the item, not on how much you put on the card. So if you pay a 200-pound deposit by credit card on a 5,000-pound kitchen and the rest by another method, the whole purchase can still be protected, because the kitchen's cash price falls within the limits. Second, the threshold applies per item, so buying several things under 100 pounds each in one order will not usually qualify, even if the total is higher.

Knowing these limits helps you decide how to pay. For a big-ticket purchase, putting even part of the cost on a credit card can secure protection you would not get with a debit card.

What Section 75 does not cover

The protection is powerful but not unlimited. It generally does not apply to:

• Debit cards or prepaid cards, because Section 75 is tied to credit agreements.
• Most purchases made through a third party, such as some PayPal transactions, where the direct link between you, the card and the retailer is broken. (The rules here can be nuanced, so it is worth checking the specifics of how you paid.)
• Items at or below 100 pounds, or above 30,000 pounds.
• Additional cardholders' purchases in some circumstances.

Where Section 75 does not apply, you are not necessarily out of options. Your card scheme's voluntary chargeback process can often still help, particularly for debit card payments. Our guide to what chargeback is explains how that route works and when to use it.

Section 75 versus chargeback

People frequently confuse the two, but they are quite different tools.

In short, Section 75 is the stronger right where it applies, because it is backed by law and holds your provider directly liable. Chargeback is more widely available, including on debit cards, but it is a voluntary scheme with its own time limits. Many people try chargeback for smaller or debit card purchases and rely on Section 75 for larger credit card ones.

How to make a Section 75 claim

Making a claim is more straightforward than many expect:

1. Gather your evidence. Keep receipts, order confirmations, advertisements showing what was promised, and any correspondence with the retailer.
2. Try the retailer first if you can. It is not legally required, but a quick resolution with the seller is often faster.
3. Contact your credit card provider and say you want to make a Section 75 claim, explaining clearly what went wrong and what you are owed.
4. Submit your evidence and keep copies of everything.
5. Escalate if needed. If the provider rejects a valid claim, you can complain and, if unresolved, refer the matter to the Financial Ombudsman Service.

If you use a credit card regularly for protection, it is worth understanding the cost of the card itself too; our explainer on APR versus AER sets out how interest is charged, which matters if you do not clear the balance in full.

For free, impartial help with a claim, Citizens Advice and MoneyHelper both offer guidance, and the FCA regulates the providers involved.

The bottom line

Section 75 is one of the most valuable rights UK shoppers have: it makes your credit card provider jointly liable when a purchase goes wrong, even if the retailer disappears. It covers single items costing more than 100 pounds and up to 30,000 pounds, and because it is a legal right you can claim straight from the card company. Remember its limits, especially that it usually excludes debit cards, and reach for chargeback where Section 75 does not apply. For any large or risky purchase, paying even part of the cost by credit card buys you protection that is hard to match.