Company refusing credit card payments - would this put you off making a purchase for £2000+?

[00982ruser]

I have had a quote from a company for some work in my home, which I was planning to accept. The quote is for £2000+, and the company has asked for a 50% deposit to be paid by bank transfer.

Just wondering how other mumsnetters would feel about this? I usually make big purchases on my credit card because of the consumer protection you get with card payments, however the company does not accept credit cards. I feel a bit reluctant to transfer this money as I have not dealt with this company before (they were recommended to me by another business, so not a personal recommendation as such).

Am I being over cautious, or should I go back to the drawing board and start looking for another contractor?

Anything over £100 i only pay with credit card..bar food. Find another tradesperson

@00982ruser my builder couldn’t take credit card payments because he quite literally didn’t have the facility to do that. I also work for a small company with a large turnover and have had lots of clients (companies) ask to pay by credit card but we don’t have a card reader so physically can’t do it either! I would say it’s quite normal. I would suggest researching them on company’s house / Experian if you have the facility to do so. I may be mistaken but I don’t think you can pay another bank account with a bank transfer on a credit card so unless they have a card reader it’s not possible to do. I would imagine this is the reasoning!

Complete rubbish. I am a small business owner and I don't accept credit cards. You know why? Because the fees make it unsustainable and I cannot even recoup the cost of the product I am selling. I could substantially increase the price of my product but I am sure most of my customers will object to that, somehow. I am certainly not dodgy and I have a legitimate business with all the relevant paperwork and consumer protection policies in place.
For the record, our small independent vet clinic doesn't accept credit cards either. It's not as odd as people on here make it out to be and certainly not anything to get worked up about.

But you have to ask yourself how much trade is lost by not accepting cards. Card payments may slightly reduce profits, but an X% reduction on a transaction is better than no transaction.

Have you checked out the company on companies house?

We only use contractors who accept credit cards. You only have to use the credit card for a small part to get the section 75 protection ( assuming all other criteria are met)

50% by bank transfer is uncommon though. If they are buying a lot of supplies could you arrange to buy them or have them delivered to your house'

@StarlightLady in our particular case we don't lose any trade because of it, we don't do domestic work and the only time a credit card is suggested is when a client is struggling with bills and wants 30 days more to pay it by putting it on there company credit card. I am not put off by a company not accepting credit cards. I however would never pay upfront for any work, the company you are using will be getting there products on a credit account and you pay once the work is complete/ in stages for big projects.

Thanks everyone for responding.

I absolutely understand that some contractors have good reasons for not accepting credit cards. I also understand the contractor wants a big deposit so they are not out of pocket when ordering materials etc. It’s the combination of a 50% deposit & payment by bank transfer that’s the problem for me in this instance - I’d be happy to pay 50% deposit with a card or a smaller deposit by bank transfer, but 50% bank transfer is too much of a risk for me.

BTW - posters asking if I have checked companies house when researching contractors - I have but I am not sure what I am looking for really. Can anyone tell me what to check?

As siad in last post husband is a builder never taken credit cards. nearly 30 years in business never been out of work nor lost clients and if wanted to enough work for the next couple of years. can pick and choose his clients.
as another person said above been stung enough by shitty clients and has started to refuse work aswell as looking at reducing work next coming years.

You’re looking to see there isn’t a history of ‘phoenix’ companies that your chap is a director of - i.e. closing/dissolving one company after a couple of years only to open another in the same line of business. You should also cross-check any directors with their positions within other firms. In terms of the contract, whoever takes the money is the firm you have the contract with. If the firm supplying is not the firm taking the money you won’t have much recourse if things go tits up.

In all honesty, I’d look elsewhere. If is is this much hassle doing business with them, imagine what it could be like if the goods aren’t fitted or up to the standard expected.

Thanks @Netaporter i think you’re right.

Why would you ask yourself that? Its up to the seller, if they are happy with their reasons what business is it of the customer? If I'm getting a good service why would I care that they might have more work if they accepted credit cards?

I don't understand what point you're making

Builders and contractors etc never take credit cards so odd to expect them to tbh.

Be warey! We got 4k when they tools downed on our extension never to return

Seems odd for a door, though for building work bank transfer is normal as few builders would have a card machine

Pay by PayPal

And you are not covered under S75, which is that the OP wants. A card payment via an intermediary (such as Paypal/Klarna etc) renders the cc company not liable under this legislation.

Refusal to accept a CC does not make any supplier dodgy.

Anyone here use ALDI ?

Aldi accept, Visa, Mastercard and Amex credit cards, so l’m a tad confused. I’m not an Aldi regular customer though. Maybe you know something l don’t?

This isn't true.

Never heard of anyone taking them in the business and OH been in it 40+ years. Maybe a few but rare and not usual practice.

Our plumber does. Operating a card reader is relatively cheap these days and makes their online accounting much simpler.

OP I really think you should read this comment back to yourself. If you’re buying a door it should be an enjoyable experience because you’re buying something nice to enhance your home. Obviously your gut is telling you not to proceed because instead of transferring them 50% deposit, you’re on here getting mixed responses. I honestly think trust your gut in this scenario. The whole different company names is a big red flag to me, and you need the contract and payment info to match. You’ll only truly know this company and whether you can trust them if you go ahead with the purchase (which to avoid all doubt I wouldn’t do based on what you’ve shared). But then it'll be too late if things go left. If there’s anyone in the neighbourhood with a nice new front door, could you knock and ask them for a recommendation of supplier? We have had this with our driveway and always happy to share details with neighbours.

I would expect to be given an invoice with bank account details on to do a transfer for this. I got a new door couple of years ago and this was what happened

Thanks @JustMyView13, I agree.

I'd wouldn't go with them, worth doing a companies house search also. Use at least £100 on credit card then if issues use Section 75 against the credit card company. Done this 3 times once for £16k. Good luck