What would happen if a company goes bust before claiming a payment from your bank?

deadendwaterfall

If, when you purchase something with your debit card, the retailer does not check the amount, for example if it is below the floor limit, and the payment isn't earmarked by your bank until the company claim the payment from the bank, what would happen in the extremely unlikely event of the company going bust right after your payment but before the company claims that payment from your bank?

Would it be the administrators that claim the payment from your bank instead?

Disclaimer: I am NOT a bored school kid about to start back at school, I'm almost 26!

pmduk

You would owe the money to the administrators whose duty is to turn as many of the company's assets as possible into cash.

It does not mean you get away without paying.

[Deleted User]

The administrators would process any outstanding debts.

PRAISETHESUN

It depends if the company that went into administration was still processing sales made before they went into administration. If you have authorised the payment, it should go through but then if they do not ship your goods you will have grounds to make a chargeback with your bank. Most companies won't ship any goods until payment has been received so it is you won't be likely to get anything for free. Typically, companies in this situation will just cancel any sales that have yet to ship and refund the purchases, although it might take a while due to everything that is going on