Ever been promised a refund, only to have the seller go back on their word? Here’s how we were able to use section 75 of the Consumer Credit Act 1974 to help.
A Which? Legal member bought an Audi TT last April from a car dealership in London for £3,000.
In the first week of having the car, the member noticed a fault with its alarm system. The dealership agreed to repair the fault, but the problem didn’t go away.
The member agreed to part exchange the faulty car for a Porsche Boxster, and paid an additional £2,000 for the car with a credit card. They soon learned that this car was also faulty.
Initially, the dealership tried to repair the fault, but in August the power steering failed, resulting in smoke coming out of the vehicle.
At first the manager of the dealership offered a refund, but then went back on the promise.
Misrepresentation by a retailer
Under this act the credit card company is jointly and severally liable for any breach of contract or misrepresentation by a retailer.
Initially, this caused problems as the Audi TT was bought using a debit card. But after clarifying that the Porsche was partly paid for using a credit card, the member was credited back the full purchase price by the credit card provider.
Breaches of contract
Under the Consumer Rights Act 2015 both cars would have had to be of ‘satisfactory quality’. Otherwise, a refund would be owed.
In this case, the average consumer can expect a higher standard from cars which are considered to be ‘more luxurious’, so the dealership was in breach of its contract.
On top of that, as the dealer was only offering a refund on the basis that the car was faulty, this could be considered an admission of liability.
Have you ever had a refund promise broken by a seller? If so, did you know about your rights under the Consumer Credit Act 1974?
Let us know what happened in the comments.
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