When a purchase goes wrong — goods never arrive, a company goes bust, an item is faulty and the retailer won't help — two separate protections can get your money back: chargeback and Section 75. They work differently, and knowing which applies to your situation matters.
Section 75: a legal right built into credit law
Section 75 of the Consumer Credit Act makes your credit card provider equally liable, alongside the retailer, for a breach of contract or misrepresentation on a qualifying purchase. Because it's a legal right rather than a scheme run by the card networks, it tends to be more robust and harder for a card provider to refuse.
Key conditions for Section 75:
- You must have paid with a credit card (not debit or charge cards)
- The item or service must have cost more than £100 and no more than £30,000
- It applies even if you only paid part of the cost on the card — for example, a deposit — as long as the total price is within the qualifying range
- It can apply even when the retailer has gone into administration, since your claim is against the card provider directly
Chargeback: a scheme rule, not a law
Chargeback is run by card payment schemes (such as Visa or Mastercard) as a dispute mechanism between your bank and the retailer's bank. It's available on both debit and credit cards, and isn't restricted to purchases over £100 — even a small purchase can potentially be reversed.
Chargeback is discretionary rather than a legal right, and it's subject to the scheme's own time limits — claims are typically expected within around 120 days of the transaction or the expected delivery date, though this varies by situation and scheme rules.
Comparing the two
| Section 75 | Chargeback | |
|---|---|---|
| Legal basis | Statutory right | Card scheme rule, discretionary |
| Card type | Credit cards only | Debit and credit cards |
| Minimum purchase | Over £100 (up to £30,000) | No minimum |
| Time limit | Up to 6 years generally (England & Wales) | Typically around 120 days |
| Retailer insolvency | Still applies — claim against card provider | Can be harder if the retailer no longer exists |
A worked example
You pay a £50 deposit on a £600 sofa using a credit card, with the remaining £550 paid by bank transfer. The retailer then goes into administration before delivering. Because the total price is over £100 and part was paid on a qualifying credit card, you may be able to claim the full £600 from your card provider under Section 75, even though only £50 went through the card. If you'd paid the whole amount by debit card instead, chargeback would likely be your only route, and only within the scheme's time limits.
How to claim under each
- Section 75: Contact your credit card provider directly, explain the issue and provide evidence (order confirmation, correspondence with the retailer, proof of the problem).
- Chargeback: Contact your bank (debit or credit) and ask them to raise a chargeback, providing similar evidence — they'll then pursue it with the retailer's bank.
- If your provider refuses a valid Section 75 claim, you can complain and ultimately escalate to the Financial Ombudsman Service.
Common mistakes
- Assuming debit card purchases have Section 75 protection — they don't
- Missing chargeback time limits by waiting too long to raise a dispute
- Not realising a part-payment on a credit card can still trigger full Section 75 protection
- Trying chargeback first on a large credit card purchase when Section 75 might offer stronger, longer-lasting protection
What to do next
Check how you paid and how much the purchase cost before deciding which route to use. For anything over £100 paid at least partly by credit card, Section 75 is usually the stronger option; for debit card purchases or lower amounts, chargeback is likely your only route — so act promptly given its shorter time limits.