Credit card users have extra purchase protection

Of all the Christmas shoppers who will stream back to the shops after New Year to ask for refunds on goods, credit card holders will have the most protection, one financial services provider has suggested.

Halifax has reminded shoppers that those who paid for their Christmas gifts using plastic will be able to retrieve a refund from their issuer should the store they bought an item from refuse.

Halifax’s head of credit cards, Ken Stannard, explained: "Other than those rights afforded under the Sale of Goods Act, credit card users have additional protection on their purchases.

"Under Section 75 of the Consumer Credit Act, if the retailer refuses to issue a refund for faulty goods, for example if the shop has gone bust; the credit card company is equally liable for faulty purchases valued at over £100 and under £30,000."

According to Halifax, Brits spent an estimated £12 billion on presents over this year’s Yuletide period.