Martin - Section 75 question urgent please help

kate230277

Hi Martin,
In Feb 08 i brought a business package from a company called Smile Spa with view to setting up a mobile teeth whitening service. The package included equipment and various other items but was priced as a whole package and not individually. I had a specifically requested a mobile unit as the standard equipment is too heavy to to move around. The sales agreement stated a mobile unit would be supplied. The cost was £13,500 plus VAT giving a total of £15,862.50. I paid this amount between 3 credit cards, Egg, Barclaycard, Tesco and also an amount on my visa debit card. I then took out a lloydsTSB business loan to pay off the amounts borrowed on my credit cards.

After using the mobile unit 5 times it broke down, this was at the end of April. Smile Spa collected it and swapped it temporarily for a standard unit saying they would repair my mobile unit and return it within 10 days. I had rented a room in a salon close to my houseso this was acceptable whilst they repaired it.
Despite constant phone calls and letters they never returned my mobile unit and have now ceased trading and have disappeared. Since May I have lost thousands of pounds worth of business as I have only been able to see customers in the salon room I had rented. I have made a very modest calculation that due to not having my mobile unit my loss of earnings equates to at least £9000.
Smile Spa were in breech of our contract, supplied faulty equipment and now that they have ceased trading I am left with equipment I cannot use and stand to lose the £15,862.50 I had invested, plus at least £9000 loss of earnings and at least £5000 I have spent on advertising, website design and a google ad campaign. And I'm left with the debt to repay.
I used your template letter and have written to all three credit card providers requesting reimbursement for the full £15862.50 from them plus £9000 loss of earnings. I have recieved a response from them all saying they will review my case. Barclays have requested supporting documents from me to prove my case and have listed their amount they are responsible as £4600.
I have not informed the credit companies that I paid for the business package on 3 different cards. I'm not sure if I need to do this and what my next port of call should be or what I am entitled to. I am worried that if I tell them about the different transactions they will spend months stalling on who's responsible for paying what. Can you please advise me on what I should do and what I need to disclose. Obviously I know I can't recieve the full £15862.50 from all three card companies but I would like to know what I should reasonably expect or should I just chase one card for the full amount and forget the other two companies??? Or should I chase LloydsTSB as the business loan provider, do bank loans fall under the credit consumer act??? Please help, I feel sick with all the worry this is causing me.
Many thanks in advance.

GeorgeUK

Hi Kate

I'm afraid i cannot advise on this, but until someone else does, i suggest contacting the citizens advice bureau and see if they can help.