Goods and services bought with credit

When you buy goods or services from a supplier, sometimes things can go wrong. This could include: 

• not getting the item you were expecting
• the item you've bought is faulty
• the item never arrives
• the service you receive is not at the standard you would expect

In some situations, your credit provider might be liable for problems with goods and services brought using credit. If so, they might have to provide you with a repair, a replacement, or a refund. 

Types of complaint we see

When consumers bring complaints to us, this can cover a broad range of issues. Consumers have said to us: 

• I'm unhappy with what I was told about the goods/services before I agreed to buy them
• The item's quality isn't good enough
• I bought something that turned out not to be fit for the purpose it was intended for
• The item I paid for never turned up
• The services I paid for weren't carried out with reasonable care and skill
• I'm unhappy with what the supplier did to put things right

What should my credit provider do?

If you've been supplied with goods under a rent-to-own arrangement such as hire-purchase, your credit provider is the supplier. So they're likely to be responsible for (depending on the type of agreement):

• issues arising from the supply of those goods
• things said by the dealer or broker about the goods before you signed up, that later turn out to be wrong

If your problem relates to a car finance agreement, we have more information on our 'Car finance' page. 

Section 75

If you used a credit card of point of sale loan to buy goods or services, then the transaction could be covered by Section 75 of the Consumer Credit Act. This allows you to raise a claim against your credit provider if: 

• you paid some (or all) of the cost by credit card or with a point of sale loan
• the cash price of the goods or services is more than £100 but not more than £30,000

It's worth noting that: 

• you don't have to pay more than £100 on the credit card or loan - it's the cash price of the goods that matters
• In certain circumstances where the cash price is over £30,000, a credit provider might still be responsible for what has happened under Section 75A. If you think this applies to you, contact us. 

Section 75 doesn't apply if: 

• you paid with a debit card or a charge card (although your card provider or bank may still be able to help through a chargeback process)
• the credit was provided under an overdraft or a bank loan

How to complain

Speak to your credit provider first - they'll be able to look into the issue and tell you if they can help. If you're unhappy with their response, or they don't respond, you can come to us with your complaint. 

Find out more about how to complain. 

What we look at

To see if we can help to resolve things, we'll look at: 

• the type of credit you used
• the cost of the goods or services
• who was involved in the transaction

If we can help, we'll weigh up the available evidence, such as: 

• looking at what's been said by all the parties about the goods or services in question
• taking into account evidence like paperwork, photos, videos, correspondence and (if needed) reports or expert opinion
• what the law - such as the Consumer Rights Act 2015 - and industry guidance says about the supply of goods or services

Putting things right

Depending on what's gone wrong (and what the credit provider has done to try and put things right), we may tell them to: 

• give you a refund, either in part or in full
• repair or replace the goods
• arrange for the services to be carried out properly
• refund interest, charges or repayments
• collect the goods at no cost to you

In any of these situations, we may also suggest that your credit provider pays you compensation for any trouble or upset that they may have caused you. If you have incurred any costs relating to the problem, we'll consider whether it's reasonable for you to be reimbursed these costs.