Cherrywood Cars- Visa Chargeback

BHan123

Hi all, seeking some advice on getting money back for a faulty car.

Car purchased on credit card in early Sept 18, supposedly coming with full service, 6 months warranty and MOT. After 5 days, returned for battery replacement. 2 day later, the engine packed in and would need replacing (as advised by AA), towed back to garage. After 3 weeks of being fobbed off by garage, used right to reject car and asked for a refund. Garage agreed to pay in 2 weeks. 13 day later received a letter from LegalSolutions4U saying they would not give a refund as it was my fault for driving without fluid. Began a section 75 claim with Sainsbury’s.

4 months later, received a letter from LegalSolutions4U saying that Cherrywood Cars had been forced to sieze trading as they had not paid some high court judgements and that my car had been seized and would be auctioned off. Contacted enforcement agency to explain that the car was mine and I was pursuing a claim against garage- if that was unsuccessful I would like the car back to scrap/sell so that I would at least get some money back. This was refused as I had rejected the car and they told me that I should pursue the credit card company as garage would be going into liquidation.

In the meantime found various articles, threads, twitter pages of loads of people experiencing the same problem with this company. The owner was put in prison previously for being a cowboy builder and was not supposed to run a business again (used wife or girlfriend’s name).

Section 75 claim rejected- purchased on mums credit card but I am the only/primary user. Now pursuing a visa chargeback as suggested by Sainsbury’s- the problem we are facing is that Cherrywood cars are still showing as an ‘active’ company on companies house, and our time to complete the claim is running out.

We are now 7 months down the line, and still no closer to getting money back plus the option of getting the car back is gone. If we don’t get the money back, this could really cripple me, as I had no choice but to get another car on finance.

Advise please?

D_M_E

Were you an authorised user on your mum's card?

Why did you not pursue a S.75 claim in your mum's name, not yours - would have been more likely to succeed, can it still be done via this route?

Think a Visa chargeback applies to debit cards, don't think it applies to credit cards.

18cc

Yes assuming your mother purchased the car for you as a present using her credit card then she is within her rights to claim under section 75. She should do it, not you.

BHan123

Yes my mom bought the car for me.
Everything has been done through my moms name, I cant help but feel guilty that she has had all of this so want to gather advise on getting her money back. If we cannot, then I will pay the credit card.
The credit card company claims that because it was bought as a 'gift' for me, with insurance details showing me as the only driver, she had no benefits from it therefore section 75 does not apply.
I cannot understand how, if you bought something faulty, present or not, they could reject the claim!

Chino

D_M_E wrote: »

Think a Visa chargeback applies to debit cards, don't think it applies to credit cards.

It does. Why did you think it did not?

Chino

BHan123 wrote: »

I cannot understand how, if you bought something faulty, present or not, they could reject the claim!

Because evidently the car was not bought for the cardholder's (your mother's) use.

18cc

Then your mother has to make a formal complaint to the credit card company. Clearly gifts are covered by section 75.

Make sure you tell them in writing it is a formal complaint. They have to respond, and if a deadlock letter is produced you can go to the FOS it is easy and simple.

Keep the complaint focussed and simple. "I bought this car for my son, these problems occurred, company is not in receivership..."

BHan123

Thank you.
I will let her know, I cannot find anything online which supports their decision

BHan123

D_M_E wrote: »

Were you an authorised user on your mum's card?

Why did you not pursue a S.75 claim in your mum's name, not yours - would have been more likely to succeed, can it still be done via this route?

Think a Visa chargeback applies to debit cards, don't think it applies to credit cards.

It was done in my mums name, they claim that because the insurance documents only have my name, that my mom had no benefits as it was a gift. Does section 75 not cover gifts? If so, would a complaint change the outcome?

Terry_Towelling

From the Chargeback angle, debit and credit cards are treated exactly the same. Even if you were able to meet the requirements of a Chargeback for defective merchandise, you may now be too late to meet the time limits of the Chargeback.

Just because the insurance and registration documents are in your name doesn't necessarily mean anything. The registration document just identifies the registered keeper of the vehicle. The registered keeper is not necessarily the owner. Your mum could still be the owner. Tread carefully here because your insurance company will have probably asked you if the registered keeper is also the owner - they sometimes refuse cover if those two are different people.

What follows is just my opinion.

As for S75 covering gifts, I'm not so sure but am happy to be contradicted. S75 states that where a debtor (your mum) has a claim against a supplier, they will have a like claim against the creditor. If your mum is the legal owner (but not the registered keeper) then maybe she has a claim and you might be able to contest the card company's position. If you are the legal owner (as it was a gift) then you might have some rights against the vehicle seller but you are not the debtor, so, in all likelihood, S75 will not apply.

Whatever the case, it has already been alleged that the vehicle's failure was down to being driven without fluids (oil? water?) and, even though such fluid loss may have occurred through an inherent fault and whilst driving, you might struggle to prove that - if asked to.

eco_warrior

Two threads on the same thing?