Buy a cheap apartment in the TRNC using a credit card

I have to thank 3Cyprus Forum’s “AJ” for reminding me of an idea which didn’t work 10 years ago but should easily work now. That idea is to buy a cheap apartment here using an internationally recognised credit card and take advantage of the security this gives to purchases between £100-£30,000.

The way it should work is that, having found a property, you arrange to pay for it in instalments equalling a single card’s credit limit. Once the instalments appear on the card then, instead of waiting until the bill becomes due, pay the card immediately. So if you are buying a £30,000 property and have a £10,000 limit on the card then three payments would be spread over 30 days. This would be built into the contract and, of course, the credit card company would need to be informed of this process.

There are some legal problems associated with the lack of an internationally recognised property title which would prevent you being able to claim if a settlement led to the property being returned, as unlikely as that might seem. However, if the contract is broken and the Vendor is unable to, or refuses to, return the £30,000 then the Purchaser can claim from the credit card company which is “jointly and severally liable” to compensate them. This means that if a mortgage appears on the property, or it turns out that the Vendor did not own the land, or one of a numerous “scams” that apply here, then the Purchaser need not worry unduly.

There are other benefits to this process in that once the Vendor accepts the money for the property from the Purchaser a much stronger contract then exists than is the norm for here!

Note: thanks to poster “John Good” it appears that this protection applies even if you pay only the deposit using a credit card, but still only on purchases up to £30,000.

“I ordered and paid £15,991 in full for a new car but before I took delivery the trader went into liquidation.

Thankfully I had paid the first £100 deposit on my Barclaycard Goldfish credit card. So I made a Section 75 claim. It took 6 months but this week I received a credit to my card of the whole amount, just from having paid the first £100 on my card.” www.moneysavingexpert.com

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