Not upheld: Section 75 claim handling and dispute resolution complaint against Shop Direct Finance Company Limited trading as Very

Decision detail

Summary

Mr S purchased an appliance and related services (removal, installation, delivery) using a Very credit agreement in July 2025. The removal of his old appliance damaged his floor, and the installation was not carried out correctly. Very credited Mr S's account with approximately £250 in refunds and compensation. Mr S sought to make a Section 75 claim against Very for the cost of repairing his floor. The ombudsman found that Section 75 protection did not apply because the individual removal service cost only £24.99, below the £100 threshold required for such claims. The ombudsman concluded that Very had treated Mr S fairly and did not uphold the complaint.

The Ombudsman's reasoning

The ombudsman applied Section 75 of the Consumer Credit Act 1974, which only applies to individual items with a cash price under £100. The key issue was whether the financial threshold had been met. The ombudsman found that the individual service Mr S raised concerns about (removal at £24.99) was below the £100 threshold, not the overall transaction amount. Therefore, Section 75 protection did not apply. The ombudsman also noted that the installation service was not charged to Mr S, so Very had already provided an appropriate remedy by not charging for it. The ombudsman concluded that Very was entitled to decline the claim and that the approximately £250 credit already provided was reasonable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website