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Guide

Section 75 for Flights & Holidays: When Your Credit Card Owes You a Refund

By Emma Walsh 9 min read
Quick Answer

Section 75 protects credit card purchases between £100.01 and £30,000 when you buy directly from the airline or holiday company — your card issuer is jointly liable if the supplier breaches the contract or goes bust. Paying only a deposit on the card still covers the full fare if the cash price qualifies. PayPal, Klarna, and most travel agents break the debtor-creditor-supplier chain, so book direct on a credit card for strongest protection. Chargeback on debit cards is weaker (typically 120 days) but has no minimum spend. ATOL protects package holidays separately; Section 75 stacks with UK261 delay compensation rather than replacing it.

Airport departure lounge — credit card and Section 75 protections apply when booking flights direct.
Photo: Wikimedia Commons / CC BY-SA 4.0

When Section 75 applies to flights

Section 75 of the Consumer Credit Act 1974 makes your credit card provider jointly and severally liable with the retailer for purchases between £100.01 and £30,000. For flights, this matters most when an airline collapses, refuses a statutory refund, or fails to deliver the service you paid for — you can claim from either the airline or the card issuer.

Section 75 of the Consumer Credit Act 1974 makes your credit card provider jointly and severally liable with the retailer for purchases between £100.01 and £30,000. For flights, this matters most when an airline collapses, refuses a statutory refund, or fails to deliver the service you paid for — you can claim from either the airline or the card issuer.

The purchase must be direct: you, the card provider, and the airline or tour operator form a straight chain. Booking through a third-party agent, PayPal, or buy-now-pay-later usually breaks that chain even if you eventually paid with a credit card. Each ticket on a return booking must exceed £100 individually for Section 75 to apply to that ticket — two £75 one-ways on the same card do not qualify even if the combined spend exceeds £100.

You only need to put part of the cost on the card — a £150 deposit on a £2,000 holiday still brings the full £2,000 under Section 75 protection, provided the total cash price sits in range. The primary cardholder must be the one who paid; supplementary card spend may not qualify depending on issuer policy.

Section 75 vs chargeback vs ATOL

Chargeback is a Visa, Mastercard, or Amex scheme rule — not a legal right — that lets your bank reverse a transaction for non-delivery, fraud, or services not provided. It works on debit and credit cards with no minimum amount, but windows are tight: typically 120 days from purchase or expected travel date.

Chargeback is a Visa, Mastercard, or Amex scheme rule — not a legal right — that lets your bank reverse a transaction for non-delivery, fraud, or services not provided. It works on debit and credit cards with no minimum amount, but windows are tight: typically 120 days from purchase or expected travel date.

ATOL protection applies to package holidays sold by UK-licensed firms, covering repatriation and refunds if the operator fails — regardless of payment method. ABTA membership offers similar but weaker bonding for some agents. DIY flight-plus-hotel bookings have no ATOL unless sold as a single package.

Section 75, chargeback, ATOL, and UK261 delay compensation address different problems and can coexist. UK261 pays fixed delay compensation when the airline is at fault; Section 75 recovers your ticket cost when the supplier fails entirely. Do not assume one claim blocks another — but you cannot double-recover the same loss.

Common flight scenarios

Airline insolvency: if the carrier stops flying before your trip, claim a full refund from the airline first, then Section 75 from your card issuer if the airline will not pay. UK261 compensation becomes a creditor claim against the liquidator and is often worthless — act on refunds while the airline or ATOL scheme is still processing claims.

Airline insolvency: if the carrier stops flying before your trip, claim a full refund from the airline first, then Section 75 from your card issuer if the airline will not pay. UK261 compensation becomes a creditor claim against the liquidator and is often worthless — act on refunds while the airline or ATOL scheme is still processing claims.

Refused refund after cancellation: when the airline cancels but offers only a voucher or re-routing you do not want, you have a statutory right to a cash refund under UK261. If they refuse, escalate via ADR or the CAA while also notifying your card issuer under Section 75.

Schedule changes you reject: if a significant schedule change makes the trip unusable and the airline will not refund, Section 75 may apply if the change constitutes a breach of contract — gather the original booking terms and the change notification in writing.

How to claim from your card issuer

Step 1: try the airline or holiday company first and keep records of every email and form submission. Step 2: contact your card issuer in writing — secure message, web form, or letter — stating you are claiming under Section 75, describing the breach, and attaching booking confirmations, payment receipts, and correspondence.

Step 1: try the airline or holiday company first and keep records of every email and form submission. Step 2: contact your card issuer in writing — secure message, web form, or letter — stating you are claiming under Section 75, describing the breach, and attaching booking confirmations, payment receipts, and correspondence.

Quote the Consumer Credit Act by name and state the amount you want refunded. Issuers typically have eight weeks to respond. If rejected unfairly, escalate to the Financial Ombudsman Service free of charge — FOS decisions are binding on the provider.

Do not accept a chargeback outcome as a substitute if Section 75 clearly applies — chargeback is discretionary and issuers sometimes push it because it is cheaper for them. Insist on Section 75 for qualifying credit card purchases over £100.

Before you pack — pre-trip essentials

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Frequently Asked Questions

Does Section 75 cover flights booked on PayPal or Klarna?

Usually no. PayPal and buy-now-pay-later providers sit between you and the airline, breaking the direct debtor-creditor-supplier link Section 75 requires. Pay the airline directly on a credit card when protection matters.

Can I use Section 75 if I only paid a flight deposit on my card?

Yes, if the total cash price of the flight or holiday is between £100.01 and £30,000. The full purchase amount is covered even when only a deposit went on the card.

Does Section 75 replace UK261 delay compensation?

No. UK261 pays fixed compensation for qualifying delays and cancellations within the airline's control. Section 75 recovers ticket costs when the supplier fails to deliver or honour refunds. They solve different problems and both can be relevant on the same trip.

What if my card issuer rejects my Section 75 claim?

Escalate to the Financial Ombudsman Service within six months of the issuer's final response. FOS reviews complaints free and its decisions bind the card provider. Gather all booking evidence and proof you attempted to resolve the issue with the airline first.

Is Section 75 better than chargeback for flights?

For credit card purchases over £100, yes — Section 75 is a legal right with a six-year claim window in England and Wales. Chargeback is a scheme rule with shorter deadlines and no guaranteed outcome, though it works on debit cards where Section 75 does not.

Does Section 75 cover flights booked through Expedia, Booking.com, or other OTAs?

Usually not. Online travel agents sit between you and the airline, breaking the direct debtor-creditor-supplier chain. Book on the airline website with a credit card for £100+ fares when protection matters, or see /guides/how-to-book-flights-uk-2026 for channel-by-channel trade-offs.

Written by Emma Walsh

Editor, Hotels & Europe

Emma reviews boutique and independent hotels across Europe, alongside British Airways and Oneworld product reviews. She writes FlightLogic's Avios redemption guides.

87+Reviews
410K+Miles Flown
22Countries
5 yrsCovering Travel