Summary

Trusted Payments (TP) is a warranty product that assists homeowners and trades to deliver successful outcomes for home improvement and energy efficiency projects, the service provides an App to manage the project, payment via Open Banking including holding retention fees and a warranty when projects are completed, and later if the provider ceases trading. The warranty provides 12-months warranty to ensure if there are any issues with the installation the homeowners can claim for correcting any issues if the trade does not take responsibility.

This document sets out the terms of the warranty, the resolution process and what is covered within the scope of the service as well as how to claim.

How does the warranty support consumers:

• The App helps the homeowner to manage the project and payments and record the project with notes, photos and documents. They can also be prompted to upload.
• When the work is completed, the App ensures handover of documentation which is stored in the App and a 1-year warranty is provided on the work.
• Any issues the consumer finds with the works once completed and will be independently assessed and any issue will be resolved if held in the consumer’s favour.

Introduction

Trusted Payments (TP) provides a warranty on any works completed using the App. The App provides a simple way to ensure a better outcome for any home improvement project. Trusted Payments helps consumers to manage the project, release monies to the trade, and, at the outcome of the project, provide a defined time and scope warranty on the work completed.

The service is provided as a package, with the consumer and trade using the App to manage payment and handover of the project upon completion. Consumers upload project funds into the App and can release at pre-approved stages to the trade. This includes retentions that are paid upon completion of the project, once all appropriate documentation has been submitted to the consumer. Both trades and consumer complete a sign-up process where we establish the identity of both parties, along with key insurance coverage. This process is known as Know Your Customer (KYC).

Trusted Payments via the App provides a simple and effective way for consumers to ensure their project goes as planned. For trades, the app provides a way to manage their engagement with the client and agree stage payment, as well as any additional works or cost that are incurred (with both parties agreeing to these changes).

This document sets up what the warranty covers (up to an initial agreed maximum of £20,000 but to be increased to £150,000) and provides in terms of consumer protection. This document is written in plain English to ensure it is clear and understandable to all parties. This is a contractual warranty and not an insurance product and is outside of the financial ombudsman jurisdiction. It is executed under English and Welsh law.

Cover

Trusted Payments will cover:

• A maximum agreed value of the project placed via the App initially up to a maximum of £20,000. This means the warranty will protect all project monies that are released to the trade via the App. If part of the spend is transferred directly to the consumer/trader outside of the App, this will not be covered under the warranty.
• Any claim excludes any pre-existing warranties or insurance provided elsewhere by a manufacturer or as a similar guarantee. We will work in collaboration with any other guarantees to fill in any resolution gaps.
• The claim must be made within 12 months of the completion of the project, unless the warranty is extended to 24 months or 72 months, which will be available. These terms include the initial 12-month term. Any extension (if applicable) is provided at an additional charge.
• The Trusted Payments process must be followed for any warranty pay out. If the process has been followed, TP aim to make payment within 5 working days from the final point of confirmation.
• TP are not liable for any damage caused beyond the original project value recorded through use of the App, although we will consider incremental damage on a case-by-case basis and may in exceptional circumstances extend cover if we consider the trades have been negligent or remiss in delivery of the project. TPs decision on this remains final and all cases are determined at TPs discretion.
• Trusted Payments will cover the following:
  • Trade does not complete the works as described.
  • Snags that have not been mutually agreed via the App and not been completed.
  • The provider ceases trading or enters administration of liquidation. (To be introduced later).
• Fraudulent activity or where TP suspect the trade or consumer to be fraudulent. TP will not disclose the reasons for decisions if a case is declined due to fraudulent activity. Details of the parties will be retained, added to TPs fraud prevention database, and shared with the relevant and appropriate authorities.
• Any vexatious cases or issues will not be investigated. Please ensure your case and issue are reasonable and fair.

What is Not Covered

• Normal wear and tear.
• If the maintenance programme related to any products is not followed and causes the issue.
• Work by an excluded trade. All trades must be a member of a partnered trade organisation. All trades will be checked (KYC) prior to any payments being released. In addition, any trades that does not honour the Ombudsman decision will have no future work covered. A record of all Directors will be maintained.

Claims Process

• Raise issue with the trade: please raise any issue with the trade and allow the trade the time to respond and to resolve the issues. Please record these communications, as the record will be used by the independent assessor. Allow the trades up to 14 days to respond to any communications.
• Raise the issue with Trusted Payments: TP will then assess the issue and if deemed to be within terms of scope pass to the Dispute Resolution Ombudsman (DRO). DRO is independent from the warranty to ensure decisions are fair to the consumer and trade.
• Independent assessment: TP will provide all details of the case to the DRO. The DRO will then ask the consumer and the trade for all details of the issue. They will then assess the case and ask both parties for additional information as appropriate. This may include emails, phone calls and video chats.
• Decision: DRO will then make an independent impartial decision. This outcome will be an arbitration of the issue, and in accordance with the App's terms, there is no alternative resolution made available.
  • If the outcome is held in the trade's favour, then no additional action will be required. Potentially, any monies held in Escrow will be released by Trusted Payments to the trade.
  • If the outcome is held partially in the consumer's favour, then the proposed the trade will be required to complete the proposed remedy. If payment is required this will also need to be released from Escrow.
  • If the outcome is held fully in the consumer's favour, the trade will be required to complete these works.
• Resolution undertaken (if applicable): the party that is required to complete the outcomes from the decision of the DRO. A reasonable time will be allowed depending on the issue. Trusted Payments will ensure this is completed.
• Warranty claim: if DRO deems the trade has not completed the outcomes as defined then the consumer can make a claim under the warranty.
• The claim will be assessed to determine the liability by an independent surveyor specialising in remediation of incomplete works.
• Once determined the claim will be authorised and a payment to the consumer within 5 working days after the claim has been authorised with payment from Trusted Payments.

Supporting Terms

• All claims will be independently assessed, and outcomes will be decided by the Dispute Resolution Ombudsman (DRO) as well as any payment amounts by independent surveyors. Pricing is regionally priced.
• Trusted Payments will provide a cash payment for remediation of the issue. The payment is based on an independent assessment of the regional costs.
• All decisions related to an issue will be conducted and decided upon by the Dispute Resolution Ombudsman, an independent third-party including outcomes and resolution payments will be assessed by independent surveyors.
• Payment will be made to the consumer registered in the App; no payments can be made to alternative third parties.
• Trades not completing remedial works defined by the DRO will be banned from future projects in the App, and legal action may be undertaken to recover costs from this and any other projects within the App. If the Directors are deemed negligent then legal action will be taken against the Directors directly.
• No resolution will be provided if either party is deemed to be fraudulent or provides false or inaccurate information.
• TP's objective allowing for time to resolve is to provide an outcome for any case within 4 weeks. If remediation is not completed within 2 months from the time of the decision unless the consumer agrees an extension directly with the trade will be deemed to be in breach of any agreement.
• The resolution must be completed within 6-months. If the issue is not resolved, the consumer must notify DRO or TP so further action can be taken. If the consumer does not notify either body their claim will be closed.

Legal

• This agreement is under the terms of the App, Trusted Payments under a binding mutual agreement between the parties in which parties permit an arbitration of the issue and to abide by the decision.
• The terms as written under English and Welsh law.
• Both the consumer and the trade agreement by use of the service to abide by the terms of the App.
• Decisions made independently by the DRO of Trusted Payments are binding under the terms and conditions of the TP App, with both parties agreeing to settlement of the issue.
• Consumers who do not make payment where the outcome of independent resolution by the DRO then legal action may be taken to recover monies.
• Projects are only covered where undertaken through Trusted Payments via a membership association. TP only work with membership organisations who reach our minimum standards.
• As a trade, you permit TP to share information with the membership organisation about the organisation and its directors.
• The use of the service is subject to an acceptable use policy if we consider a trade to have unreasonable issues, TP will suspend them from use of the App. If after investigation the trade will be able to take on new projects. Consumers with active projects whilst the trade is suspended will remain covered.