JCT's homeowner guidance calls for an agreed payment schedule, and RICS explains how interim valuations assess value under the contract. [1] [2]
Explain what the deposit buys
Request a breakdown of any deposit: design work, a specifically identified order or mobilisation. Ask when it becomes payable and what happens if the job does not proceed. Do not infer that a deposit is protected simply because the contractor issues a receipt. Consumer guidance recommends avoiding large advance payments and keeping records of payments made. [3]
Where a significant product is manufactured away from site, ask who owns it, where it is stored and what insurance and security apply. A payment for a future window order is not evidence that the windows already exist or belong to you. RICS discusses these distinctions when valuing off-site goods. [2]
Define the stages precisely
Replace a vague milestone such as “roof done” with a description you and the contractor can check against the work. Ask who will inspect it and what evidence accompanies the request. Request a sample payment statement showing the proposed treatment of approved changes and earlier payments.
Keep a payment register showing each request, assessment, amount paid, date and supporting document. Put the contract’s notice and payment dates in a calendar and ask the appointed adviser who must act at each point. Confirm any disputed assessment in writing instead of relying on a site conversation.
Know which payment regime applies
Ordinary owner-occupier work is not automatically subject to the Construction Act's payment and adjudication machinery. The residential-occupier exception is fact-sensitive; business development and rental work must not simply be treated as identical to a project for your own residence. [4]
The Commercial Payments Bill proposes reforms, but remains a bill as at 2 October 2026. Do not apply proposed payment periods or a proposed retention ban as though they already override your contract. [5]
Understand card protection accurately
Section 75 protection can apply where the relevant cash price is more than £100 and not more than £30,000, subject to the required consumer-credit relationship and other conditions. Paying only part by credit card can qualify, but the cash price—not the amount put on the card—controls that price test. A small card deposit does not automatically protect an entire higher-value building contract. [6]
Chargeback is a separate card-scheme process with conditions and deadlines. Contact the provider promptly when a payment problem arises; neither route guarantees recovery in every case. [6]