Online retailer is closing - goods not yet delivered and not responding

[bemybebe]

Goodness, what a pita!! After searching for cheap baby stuff across ebay and sales for the past month I came across a retailer that had some good (50%off) offers going on. Website said it is a small UK-based company founded by two mums passionate about real nappies and all the other right noises. I placed an order and got a webpage message that the payment did not go through, placed another one and a website message that all was ok. That was on Sunday a week ago.

Later in the evening I saw in my mailbox a couple of messages that both orders went through. I got worried as I didn't want duplicates (I am not working and desperately searching for bargains!), so decided to call the company first thing on Monday to clarify. On Monday morning I called the sales number, which went straight to the answering machine, so i left the message explaining the situation. Then I saw on their homepage an announcement that they are closing by the end of February and selling off all their stock at the additional discount. This did not worry me too much until today as I called the company every single day, left messages and not heard anything back. Neither did I get any further communication about the order dispatch.

Today I decided to email them. Their email system is full and the message bounced back. I submitted another message via the website, god knows if they ever see it. At least, so I thought, I will have a credit card protection if something goes really wrong.

After giving up hope to get an easy answer from the company I decided to call my bank. Well, the good news is that only one payment went out. The bad news is that as my order is below 100£ my cc Mastercard payment does not give me ANY protection (I should have used my VISA debit card instead I now discover). The person in the bank had no clue what my rights are, what I can do beyond just hoping that the goods will arrive. It is still early days (only a week) but the lack of any communication on behalf of the retailer is very worrying...

So, after searching the internet I am indeed clear that I can expect no help from the cc company. I am also stuffed if they go into bankruptcy. So, is there any hope for me if it is an orderly liquidation or should I just resign to the fact that there is a very good chance that I will not get my money or my goods??

I would keep pushing Mastercard (rather than your bank), register it as a dispute/fraudulent transaction and see if you can get them to cancel it.

Thanks Cogito, I will call MASTERCARD first thing tomorrow. There is a thing called "chargeback" for payments made by some card issuers, but it seems that MC is not part of this scheme (at least not in the UK). Will see and report back.

I was a bit shocked to hear that Mastercard doesn't do Chargeback.

I just had a look at the "Which" site and it says (among other things"

"...Chargeback is not enshrined in law like section 75, but is part of Scheme Rules, which participating banks subscribe to. It applies to all debit cards, although exact rules may vary between the Visa, Maestro and American Express networks.

Chargeback also applies to credit cards and is particularly useful where section 75 is not applicable ? for goods costing less than £100 for instance..."

"...If you have any trouble when putting in a claim to your credit or debit card provider, try asking to speak to a supervisor. Chargeback is less well-known than section 75, and some bank staff may not be aware of this rule.

If your card provider rejects your chargeback claim, you can take your case to the Financial Ombudsman Service within six months of your final correspondence."

I would be inclined to put your claim in writing to the credit card comapany soon as poss and keep copies of all corrrespondence.

I have tried calling MC today but they refused talking to me saying that i have to go through my bank (JLP). The bank told me they will have to wait until it is clear i am not getting the goods... I will have to insist next monday for the bank to initiate chargeback, but of course whether they will agree to do it remains to be seen...

write to the name and address on your card statement.

Thank you again guys.

First thing first - I am relieved and a bit embarrassed to report that the order DID arrive this morning . Today is the day 10 since it was placed, so it is still a reasonable time frame, but lack of any communication from the company (including a quick email that the order was dispatched) really upset me. Anyway, sorry for the panicked OP.

It was an interesting experience realizing that credit card protection as I understood it does not count for orders below 100£ - this is 99% or our purchases of course. It seems that I should either go the paypal route which is linked to my AmEx with excellent customer service and not quibble immediate refund (I once had a problem with a retailer and got full support from the bank) or use my first direct debit card, which also gave me excellent customer service on several occasions and which have my full confidence.

What is clear, for purchase below 100£ one is at the mercy of their bank (although one can go to the Financial Ombudsman if the bank does not handle the matter to ones satisfaction).

Meanwhile I am a very happy bunny with a bunch of new baby clothes in the draw waiting for the big day! Yay!

I know this is an old thread, but just in case someone sees it and thinks Mastercard does not participate in the Chargeback rule, in the Scheme Rules of the Consumer Credit Act 1974, because they do!!!

Mastercard Worldwide Chargeback Guide (doc date: 09 November 2012)...

www.mastercard.com/us/merchant/pdf/TB_CB_Manual.pdf