When you order something and pay using a credit card, you are protected against loss...or are you?

Although many people think that the protection that applies is absolute, it is not. Unless your credit card contract specifies otherwise, your protection is normally limited. The criteria that normally apply are:

• The purchase of the goods or services must have involved the use of a UK-issued credit (not debit) card;
• Protection only applies where the purchase cost is £100 or more;
• There must have been a breach of contract or misrepresentation by the supplier; and
• Where goods are purchased overseas, local contract law will apply.

In June 2014, extensive new consumer protection was introduced by  the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013  which enhance the rights for consumers that enter into 'doorstep' and distance selling contracts in particular.