You paid a £600 deposit for a kitchen extension. The builder took the money and disappeared before starting work. You call your bank. The person on the phone mentions Section 75 in one breath and chargeback in the next, and you hang up none the wiser about which applies or whether you even need to choose.
This is one of the most common points of confusion in consumer rights. Section 75 and chargeback both let you recover money through your card provider, but they are very different in how they work, what they cover, and how strong your position is. Getting this distinction wrong can cost you money, or mean you miss a valid claim.
The short version
| Section 75 | Chargeback | |
|---|---|---|
| Card types | Credit cards only | Credit and debit cards |
| Purchase range | £100 to £30,000 | No minimum or maximum |
| Legal right? | Yes, statute (Consumer Credit Act 1974) | No, card scheme rules only |
| Covers | Breach of contract and misrepresentation | Wider range including non-delivery, fraud |
| Time limit | 6 years (England/Wales), 5 years (Scotland) | 120 days from transaction (Visa/Mastercard) |
| Who decides | Your card provider (and FOS if they reject) | Your card provider under card scheme rules |
What is Section 75?
Section 75 of the Consumer Credit Act 1974 makes your credit card provider jointly liable with the retailer for qualifying purchases. It is a legal right, not a policy. If the retailer has breached their contract with you or misrepresented what they were selling, you can claim against the card provider directly, even if the retailer no longer exists.
The purchase must have a total price between £100 and £30,000. You only need to have put £1 on the credit card. Debit cards, charge cards, and payment services such as PayPal do not qualify.
What is chargeback?
Chargeback is a process built into the rules of card schemes such as Visa, Mastercard, and Amex. When you dispute a transaction, your bank can reverse it and reclaim the money from the retailer’s bank. It covers both credit and debit cards.
Chargeback is not a legal right in the same way as Section 75. Whether it succeeds depends on the card scheme rules and your bank’s willingness to pursue it. Banks are generally cooperative for clear-cut cases (fraud, non-delivery), but they have more discretion to refuse than they do with Section 75.
The main practical disadvantage of chargeback is the time limit: Visa and Mastercard both impose a 120-day limit from the transaction date (or from the expected delivery date for goods not delivered). Some banks interpret this generously, but it is significantly shorter than Section 75’s six-year limit.
When to use Section 75
Use Section 75 if:
- You paid on a credit card.
- The total purchase price was between £100 and £30,000.
- The retailer has breached their contract with you or misrepresented what they were selling.
- You are within six years of the problem arising (England/Wales) or five years (Scotland).
Section 75 is the stronger protection. It is a statutory right, the time limit is much longer, and if the bank refuses you can escalate to the Financial Ombudsman Service, which upholds a significant proportion of Section 75 complaints that banks initially reject.
When to use chargeback
Use chargeback if:
- You paid by debit card (Section 75 does not apply).
- The purchase was under £100 (below the Section 75 threshold).
- You need to act quickly within the 120-day window.
- The dispute involves unauthorised fraud on your account (chargebacks for fraud are generally processed faster and more readily than Section 75 claims).
Can you use both?
Yes, and sometimes it makes sense to try. If you paid partly by credit card and partly by debit card, you could pursue Section 75 for the credit card portion and chargeback for the debit card portion. However, you generally cannot recover more than your total loss.
If you are within the chargeback window and the amount is under £100, chargeback is your main option. If you are outside the chargeback window but within the Section 75 limitation period, and you paid on a credit card, Section 75 is your route.
[TODO] What to do if your bank conflates the two
Cover: banks sometimes handle Section 75 claims as if they were chargebacks, applying the wrong time limits or treating the claim as discretionary. Explain how to correct this in writing, citing the statutory basis.
[TODO] Real cases where the distinction mattered
Cover: two or three brief anonymised examples (sourced from FOS published decisions or consumer rights case studies) where knowing the difference changed the outcome.
Last updated: 1 May 2026. See also our complete Section 75 guide and Financial Ombudsman escalation guide.