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Section 75 Chargeback on Credit Card

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  • Section 75 Chargeback on Credit Card

    Hi,
    I am looking for some advice.
    I am an IT engineer running my own self employed business. Less than two years ago, I purchased a very expensive HP computer system for work purposes. It was a very high spec system as needed for work.

    Within 6 months, it had failed, there was an issue with the RAID Storage Drives. The HP support provided (which I paid extra for to upgrade the support level) was not as expected, the engineers were not trained in how RAID storage worked - despite the system being sold with it and next day support was not provided as advertised. The response times were not satisfactory as this is a business system, not a personal one.

    I wrote a formal complaint and never heard anything back from HP.
    In February, the system failed once more, this time not storage related. I contacted HP again to be told that HP Support its self was having technical issues. I was completely unable to gain access to the support portal for over 30 days. I had to keep emailing, but rarely got responses. If I rang, there was no direct number to speak to support for the type of premium system I had.
    Over the course of 30 days, I repeatedly chased HP Support to have the problem fixed, repeatedly reminding the support provider that whilst this system was not working, I was unable to run my business.
    The support team eventually (15 days in) sent someone out to replace the Graphics Card, this did not solve the issue and despite repeatedly chasing the support department, I got no further responses.

    After 30 days, I wrote to HP Support via email stating that this level of customer service was completely unacceptable and this is now the second such issue I had experienced in less than two years on the same system. I made it clear that if HP did not respond in the next 48 hours, I would initiate a section 75 chargeback for the full value of the system and respective support purchased plus costs for my loss of earnings. HP again failed to respond, so I sent a letter to my Credit Card provider asking to make a claim. I sent substantial evidence of the amount of times I had chased HP, the formal complaint I had to sent last year because of their poor after sales support care when the system first failed.

    HSBC - the credit provider has been very slow in responding, finding various reasons to ask for more evidence, despite my sending 38 pages of evidence in my initial letter. HSBC now is asking for a copy of the engineer report from when the Graphics Card was changed. No engineer report was provided and I don’t really understand why it is requesting this as I have sent so much evidence.

    Being an engineer myself, I have already explained that if it wasn’t the GPU (Graphics Card), due to the nature of the problems, it would be the motherboard. HP did not offer to change this part in a timely manner (i.e within 30 days) thus I had no option but to go out and purchase a different computer so I could run my business. The HP system in question cost just shy of £4000. I have been without this system or my money back now since end of Feb 23. Can anyone advise what steps I should take moving forwards?

    Many thanks.
    Tags: None

  • #2
    Henry, from whom did you purchase this item? What contact, if any, have you had with the seller if other than HP?
    Lawyer (solicitor) - retired from practice, now supervising solicitor in a university law clinic. I do not advise by private message.

    Litigants in Person should download and read the Judiciary's handbook for litigants in person: https://www.judiciary.uk/wp-content/..._in_Person.pdf

    Comment


    • #3
      Originally posted by atticus View Post
      Henry, from whom did you purchase this item? What contact, if any, have you had with the seller if other than HP?
      The system was purchased directly from HP and all contact has been via HP either on the phone or limited email responses due to HPs "technical issues" whereby they have been unable to retrieve customer emails sent to their support department.

      To clarify, HP was both the seller and the support provider.

      Comment


      • #4
        Do you have any communications from the time about the decision to change the graphics card? If so, send these to HSBC.

        If HSBC keeps dragging its heels you may have to sue it under s75 Consumer Credit Act 1974.
        Lawyer (solicitor) - retired from practice, now supervising solicitor in a university law clinic. I do not advise by private message.

        Litigants in Person should download and read the Judiciary's handbook for litigants in person: https://www.judiciary.uk/wp-content/..._in_Person.pdf

        Comment


        • #5
          Originally posted by atticus View Post
          Do you have any communications from the time about the decision to change the graphics card? If so, send these to HSBC.

          If HSBC keeps dragging its heels you may have to sue it under s75 Consumer Credit Act 1974.
          Hello,
          Yes, all communications I sent in my original letter to HSBC, I have then again attached this to the decleration forms they have sent me twice. I really get the feeling they are just trying to wriggle out of this despite the mountain of evidence provided.

          When I initially wrote a formal complaint to HP last year, not only did I include this letter when sending to HSBC but I even included the proof of postage via Royal Mail Special Delivery, so HSBC can see I have had previous issues with this computer and the service provided to the point where I even have the tracking number for my formal complaint.

          Comment


          • #6
            Write to HSBC tell them you want a Deadlock / Final response letter, so you can take the matter to the FOS. HSBC has to pay the FOS to look into your complaint.

            Make sure you get Proof of Postage. Then they have 8 weeks to investigate, then you can lodge a complaint with the FOS.

            https://www.financial-ombudsman.org....-bought-credit

            Comment


            • #7
              Originally posted by echat11 View Post
              Write to HSBC tell them you want a Deadlock / Final response letter, so you can take the matter to the FOS. HSBC has to pay the FOS to look into your complaint.

              Make sure you get Proof of Postage. Then they have 8 weeks to investigate, then you can lodge a complaint with the FOS.

              https://www.financial-ombudsman.org....-bought-credit
              Thank you for your post. That is really useful, I was not aware of that. I will wait for their next response and I will then mention that I would like to lodge a complaint with the FOS. I will then follow that up with a written letter saying the same and do recorded delivery. I am on the verges of charging them for my time and interest for the substantial amount of money I am out of pocket by whilst they keep asking pointless questions and then going quiet for weeks on end.

              Thanks again for your help.

              Comment


              • #8
                Please update the thread when you get a response.

                Comment


                • #9
                  Originally posted by echat11 View Post
                  Please update the thread when you get a response.
                  Hello,
                  I have had a very unhelpful update through from HSBC this week.
                  it says:
                  “Please contact HP for a copy of the engineers report, we're not in a position to continue further without. Should this form expire please forward to our postal address once received”

                  I can’t believe they are again asking for this after all of the info I have provided. It is blindingly obvious that HP are not responding in a timely manner to urgent support requests from customers. What hope do I have in obtaining a report from them?

                  I am happy to go back to HSBC with a response something like this:
                  ”Many thanks for your response. This matter has been ongoing now since February 2023. I have already explained to you several times, I have had a very difficult time in getting responses from HP, yet you are asking me to again try and contact HP to obtain an engineers report for a computer the engineer didn’t even fix. The whole reason I lodged a section 75 chargeback with HSBC is because of the total lack of responses and help I was receiving from HP. I am no longer prepared to spend any time on this matter, so please send me over adeadlock/final response letter so I can take this matter to the FOS”

                  Does that sound ok? Or am I moaning on too much? Thanks in advance for your help on this.

                  Comment


                  • #10
                    Dear Mr Stuart

                    Thank you for your letter / email of XXXXXX.

                    I have contacted HSBC on a number of occasions, yet this matter remains unresolved due to HSBC's total failure to communicate constructively with me.

                    This matter has been ongoing since February 2023. I have already explained to HSBC on a number of occasions, that I have been getting unsatisfactory responses from HP (this is evidenced in my communications with HSBC), yet HSBC keeps asking me to contact HP to obtain an engineers report for a computer the engineer has never fixed.

                    The reason I lodged a section 75 claim with HSBC is because of a failure of the computer and lack of response from HP in a timely manner.

                    As HSBC is not addressing my Section 75 claim I am minded to lodge a complaint with the Financial Ombudsman Service, so please issue me with HSBC's Final Response / Deadlock Letter.

                    I look forward to hearing from you.

                    Yours sincerely

                    XXXXXXX XXXXXXX

                    Email your complaint to the CEO of HSBC UK.
                    Make sure you mark the letter Complaint

                    Ian Stuart
                    CEO
                    HSBC UK
                    ian.stuart@hsbc.com

                    https://www.financial-ombudsman.org....ow-to-complain

                    Comment


                    • #11
                      Thank you for your helpful post. I will send this next week and will post the outcome once I get one. Thanks for your help.

                      Comment


                      • #12
                        Originally posted by henrygregory View Post
                        Thank you for your helpful post. I will send this next week and will post the outcome once I get one. Thanks for your help.
                        Just a quick post to say I have just responded to HSBC. I will let you know the outcome. Thanks again for your help on this.

                        Comment


                        • #13
                          Originally posted by henrygregory View Post

                          Just a quick post to say I have just responded to HSBC. I will let you know the outcome. Thanks again for your help on this.
                          I have had an update and not the response I was hoping for....

                          Thank you for your letter dated 31 May 2023 addressed to Ian Stuart, HSBC UK Bank Chief Executive about your credit card.
                          I understand you’re unhappy with the outcome of your Section 75 claim.

                          On review, you’ve raised a Section 75 claim for £xxx to HP Inc as a fault has occurred on the item.

                          Having reviewed your claim, I note you Section 75 Team have asked for an independent report confirming the fault. Our Team confirmed they have asked for this more than once however, this hasn’t been received in order for them to pursue the claim further.

                          You have explained that the engineer sent by HP Inc only delivered parts for you and didn’t repair any faults.

                          I’ve asked our Section 75 team to review the claim again and confirm if the independent report is still required and they advise it is.

                          The information you’ve provided also shows that HP Inc informed you they could schedule a repair or, you could arrange this yourself with them.

                          Whilst I understand the engineer that arrived didn’t repair any faults, you’d need to ask HP Inc to send an engineer to provide a report for you confirming the faults before we can continue with the claim.

                          I’m sorry for any inconvenience you may experience obtaining this information however without this, we’re unable to continue with the claim.

                          I appreciate this outcome may be a disappointment to you but I trust I have clarified our position. Should you remain unhappy with this outcome the next step for you is to escalate your complaint to the Financial Ombudsman Service. I've included details below for you.

                          You have the right to refer your complaint to the Financial Ombudsman Service, free of charge, but you must do so within six months of the date of this response. The Ombudsman is the independent body that looks into disputes between consumers and financial businesses. It looks at what's happened and gives an independent view on the situation. For a copy of the Financial Ombudsman Service consumer leaflet please refer to https://www.financial-ombudsman.org.uk/businesses/resolving-complaint/ordering-leaflet/leaflet and for further information please refer to Financial Ombudsman Service site. If you’d like me to send you a paper copy, please let me know.

                          If you do not refer your complaint in time, the Ombudsman will not have our permission to consider your complaint and so will only be able to do so in very limited circumstances. For example, if the Ombudsman believes that the delay was as a result of exceptional circumstances.

                          Comment


                          • #14
                            Originally posted by henrygregory View Post

                            I have had an update and not the response I was hoping for....

                            Maybe contact HP on social media, you can leave a message via Twitter for them. If they have 'left parts', then for HP to do that, they must of diagnosed a problem, if they've done that, then they should be in a position to generate a report.

                            Comment


                            • #15
                              Originally posted by echat11 View Post

                              Maybe contact HP on social media, you can leave a message via Twitter for them. If they have 'left parts', then for HP to do that, they must of diagnosed a problem, if they've done that, then they should be in a position to generate a report.
                              Thanks for your help. I think it is utterely ridiculous that HSBC are asking me to again contact the company I have had repeated issues getting responses from hence the sec 75 chargeback claim in the first place. I have emailed HP twice since your post and nothing.
                              What a situation to be left in.

                              Comment

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