Is Paypal Credit covered by Section 75 of the Consumer Credit Act?

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Found 22nd Apr 2017
Just wondering if anyone knows if Section 75 applies to Paypal Credit on larger purchases. Thanks in advance.
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Paypal Credit - Yes it is. Its a straight forward debtor-creditor-supplier agreement that would fall within the terms of S75 CCA1974

Yes. From the SECCI: "The Credit Agreement will be governed by English law and subject to the non - exclusive jurisdiction of the courts of England and Wales (unless your address is in Scotland or Northern Ireland when you enter in to the agreement, in which case it will be, respectively, the law and courts of Scotland or the law and courts of Northern Ireland)"
Original Poster
stiffnuts

Paypal Credit - Yes it is. Its a straight forward … Paypal Credit - Yes it is. Its a straight forward debtor-creditor-supplier agreement that would fall within the terms of S75 CCA1974



AndyRoyd

Yes. From the SECCI: "The Credit Agreement will be governed by … Yes. From the SECCI: "The Credit Agreement will be governed by English law and subject to the non - exclusive jurisdiction of the courts of England and Wales (unless your address is in Scotland or Northern Ireland when you enter in to the agreement, in which case it will be, respectively, the law and courts of Scotland or the law and courts of Northern Ireland)"



Thanks for the help in clearing that up. Really appreciate it.
stiffnuts

Paypal Credit - Yes it is. Its a straight forward … Paypal Credit - Yes it is. Its a straight forward debtor-creditor-supplier agreement that would fall within the terms of S75 CCA1974

AndyRoyd

Yes. From the SECCI: "The Credit Agreement will be governed by … Yes. From the SECCI: "The Credit Agreement will be governed by English law and subject to the non - exclusive jurisdiction of the courts of England and Wales (unless your address is in Scotland or Northern Ireland when you enter in to the agreement, in which case it will be, respectively, the law and courts of Scotland or the law and courts of Northern Ireland)"


No problem. PPC is reasonably open in United States as provided by this page, but there does not appear to be an equally open page for UK, maybe cos they have chosen the less stingent route of porting lending permission from EU? If somebody knows of a similar info page covering the UK I would show more than a passing interest. Thanks.
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Bear in mind though , if you pay by credit card through Paypal you lose the protection given by Section 75 on your credit card as it is deemed a 3rd party transaction and not covered by S75. For instance if you book a holiday and use Paypal as the payment method (even if funded by your credit card ) you are not protected by your cards S75 obligations . To get round it you need to pay for at least £100 of it directly via your credit card (maybe the Deposit ?) then you are protected for the whole cost however you pay for the balance .
Edited by: "rogparki" 22nd Apr 2017
Original Poster
rogparki

Bear in mind though , if you pay by credit card through Paypal you lose … Bear in mind though , if you pay by credit card through Paypal you lose the protection given by Section 75 on your credit card as it is deemed a 3rd party transaction and not covered by S75. For instance if you book a holiday and use Paypal as the payment method (even if funded by your credit card ) you are not protected by your cards S75 obligations . To get round it you need to pay for at least £100 of it directly via your credit card (maybe the Deposit ?) then you are protected for the whole cost however you pay for the balance .



Yep, this is true. It wasn't clear however, in regards to Paypal Credit alone, as the information isn't as clear on the UK site.

Paypal Credit is where they give you credit like you would get via a credit card (but you don't get a physical card) and they always give you 4 months 0% interest on purchases £150 and over. There are some retailers that do offers with much longer 0% periods at times too. (Up to 24 months).
Original Poster
xbassyx

Is this good?



Paypal Credit has been good for me. You can only use it online at retailers that accept Paypal though. Any balances above £150 automatically have 4 months 0% interest with some retailers offering longer periods than that.
rogparki

Bear in mind though , if you pay by credit card through Paypal you lose … Bear in mind though , if you pay by credit card through Paypal you lose the protection given by Section 75 on your credit card as it is deemed a 3rd party transaction and not covered by S75. For instance if you book a holiday and use Paypal as the payment method (even if funded by your credit card ) you are not protected by your cards S75 obligations . To get round it you need to pay for at least £100 of it directly via your credit card (maybe the Deposit ?) then you are protected for the whole cost however you pay for the balance .



​ you are correct except for one thing, you only need to pay 1p of the transaction on a credit card to be covered under section 75 as long as the item you are buying costs over £100.
Excellent news as paypal credit would be just provider and retailer therefore a direct relationship. However one other thing i want to know. If you pay less than the £150 do you still have so many days interest free i.e so long as you pay your bill in full its interest free or will interest be charged from day one until paid off?

Very useful though for the 0% 4 months i love it
Edited by: "Anon32" 4th Jul 2017
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