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Letter making a claim for equal liability from your credit provider

When you buy goods or services on credit your creditor may also be responsible if things go wrong.

Under the terms of the Consumer Credit Act 1974 – Section 75 if you have a business link with your credit provider as well as the trader, you may be able to make a claim to get your money back under the equal liability rules. This holds your credit provider jointly and severally liable with the trader for any breach of contract.

You are most likely to have a business link with your credit provider if you've bought something with a credit card or you have an agreement where the trader provided you with the goods or service but a separate finance company provided the credit.

Your credit agreement should say whether you can make a claim under equal liability rules.

If your credit provider also provided you with the goods or service, you will not be able to make an equal liability claim.

You can make a claim if the price of any single cash item is more than £100 but not more than £30,000.

Find out more about claiming  compensation under equal liability rules in Extra protection when you buy on credit.

This template is to be used for guidance and may not suit your specific situation. If you require more detailed advice and guidance, you can get more help.


Jade Caine
28b Raine Road

Harry Slater
Legal Department
Loans for All
1 Raine Road

26 April 2015

Dear Harry Slater,

Account: 12345678

Re: Microwave 400w

Consumer Credit Act 1974 (as amended)

I am writing to you regarding a problem I have with the goods that I bought from Safecos Supermarket on 12/12/11 at a cost of £100, using my credit card.

The microwave stopped working on the 'cook' function after two days and only works for defrost. Please also find enclosed copies of letters that I have already sent to Safecos Supermarket to try and sort this problem out.

As you supplied the credit for this purchase, I hold you jointly and severally liable for the breach of contract with Safecos Supermarket under section 75 of the Consumer Credit Act 1974.

You therefore have a duty to offer me the same solution to the problem as I have already asked Safecos Supermarket to provide. Please see the attached letters for details of what I would like you to do.

I look forward to hearing your response within the next 14 days.

Yours sincerely

Jade Caine

Citizens Advice

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