Not upheld: Section 75 Consumer Credit Act claim - alleged breach of contract for faulty goods complaint against JAJA FINANCE LTD trading as Asda Money Credit Card

Decision detail

Summary

Ms B paid approximately £570 for a clutch supply and fitting to a relative's car in August 2024 using her Asda Money credit card. When the clutch failed in November 2024 after only a few months, Ms B sought a refund from both the supplying garage and Asda Money under Section 75 of the Consumer Credit Act 1974. Asda Money requested supporting evidence of a breach of contract but stated it did not receive the evidence Ms B claimed to have sent, and subsequently closed the claim. The ombudsman found that Asda Money had not acted unreasonably in rejecting the claim because there was insufficient evidence to establish the clutch was faulty at the point of supply, the clutch had been disposed of before inspection, and the cause of the premature failure remained uncertain. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that Asda Money reasonably rejected the Section 75 CCA claim because there was insufficient evidence to establish a breach of contract by the garage. Although the clutch failed only a few months after supply, there was no evidence of the clutch's condition at the time of failure, no inspection by the supplying garage or an independent party, and uncertainty about the cause of the premature failure. The ombudsman noted that even the additional evidence Ms B provided later (diagnostic report and third-party garage email) did not establish that the clutch was faulty at the point of supply or that the failure was due to a quality issue rather than other factors such as the 2,000 miles of driving.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website