On 22nd. March 2006 the Court of Appeal ruled that section 75 of the Consumer Credit Act 1974 applies to overseas as well as domestic transactions.
This should make it easier for UK consumers to obtain refunds from their Credit Card Company in respect of Timeshare and Holiday Club transactions which go wrong. In turn it will almost certainly make the Credit Card issuers take much more care when authorising suppliers’ accounts in the future.
Note that this relates only to CREDIT CARDS and not to debit cards or charge cards. Marketers will by now be aware of this and will therefore probably try to pressure buyers into using debit or charge cards, or to draw cash, in an attempt to avoid any charge-back. This should be avoided like the plague.
The Act says that:
Section 75(1) states that card issuers are jointly and severally liable for any misrepresentation or breach of contract in relation to a transaction with a cash price of £100 to £30,000 which is financed by an agreement regulated by the Consumer Credit Act 1974.
OFT advises:-
. Thanks to the consumer protection of section 75, money that seemed lost on a credit card purchase can be claimed back
. If you pay by credit card you can claim your money back from the card company if the seller fails to honour the contract, or the item is faulty or if the seller wrongly describes it or if the supplier goes out of business
. You do not have to attempt to claim your money back from the seller first – the credit card company is individually liable
. If you are buying an item costing over £100 and you are asked for a deposit, consider paying the deposit by credit card
. You are not covered by section 75 if you use a debit or charge card.
From Timeshare Talk
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk