Homeowners · Money and payments

Paying a builder safely

How you pay matters as much as who you pay. A sensible payment plan keeps the money roughly in step with the work done.

Information, not legal advice. This guide explains official rules in plain words for England, with links to the sources. Rules change and every job is different, so check the source or get advice for your situation. Last checked 24 October 2026.

Avoid big upfront payments

Citizens Advice says not to agree to pay everything up front. If the job is long and you cannot avoid a deposit, push it down as much as possible and do not agree to more than 25% (Citizens Advice). Citizens Advice also suggests offering to buy expensive materials yourself, so that a deposit is not needed for them.

Pay in stages

Pay for work in stages as it is completed (Citizens Advice). Link each payment to something you can see, not to a date.

Pay by card if you can, never cash

Citizens Advice says to pay by debit or credit card if you can, by bank transfer if not, and not to pay in cash. It says to avoid traders who only accept cash or want everything upfront (Citizens Advice). If you pay by cash or bank transfer, you cannot use chargeback or Section 75. If you paid by bank transfer and were the victim of a scam, you might be able to get your money back (Citizens Advice).

Section 75 and chargeback

• Section 75 of the Consumer Credit Act 1974 can make a credit card provider jointly responsible with the trader. It does not apply where the cash price of a single item is £100 or less, or more than £30,000 (s.75). Citizens Advice notes that it can still cover a deposit paid on a credit card, even if the deposit itself was under £100 (Citizens Advice).
• Chargeback is a scheme run by card providers, not a law. You may be able to use it for debit card payments (Citizens Advice).

Deposit protection, escrow and guarantees

Some traders offer deposit insurance. Others use an escrow scheme, where your money is held by a neutral company and released at agreed stages. Citizens Advice says to check that the escrow company is registered with the Financial Conduct Authority (Citizens Advice). An insurance-backed guarantee can protect the guarantee on the work if the trader stops trading (Citizens Advice).

Watch for changed bank details

A practical tip: if you get an email or message saying the builder's bank details have changed, call the builder on a number you already have before you pay. If you think you have been scammed, contact your bank straight away and report it to Report Fraud.