Chargeback against homebuilder? Or S75?

born_again

eddddy said:

I don't know whether a credit card company would use the same approach as a court when considering a chargeback - or whether they would be harsher or softer. But if the credit card company decide to action the chargeback, the developer might still decide to take you to court and sue you for the £4320. 

Banks work to the Visa/Mastercard card regulations as far as chargebacks go. Which are over and above your consumer rights. So in this case you are looking at non receipt of goods/services.
Bellway could contest if they have the T/C on the purchase. Even unfair T/C could see the OP not getting a refund. As that is not what card regulations cover.

But as you point out if Bellway do not contest the chargeback and the OP gets their money back. Then Bellway can take them to court for the funds.

[Deleted User]

born_again said:

eddddy said:

I don't know whether a credit card company would use the same approach as a court when considering a chargeback - or whether they would be harsher or softer. But if the credit card company decide to action the chargeback, the developer might still decide to take you to court and sue you for the £4320. 

Banks work to the Visa/Mastercard card regulations as far as chargebacks go. Which are over and above your consumer rights. So in this case you are looking at non receipt of goods/services.
Bellway could contest if they have the T/C on the purchase. Even unfair T/C could see the OP not getting a refund. As that is not what card regulations cover.

But as you point out if Bellway do not contest the chargeback and the OP gets their money back. Then Bellway can take them to court for the funds.

I agree, I don't think that a chargeback or s75 claim is the panacea that the OP thinks.
The builder is not allowed to profit but at the same time is entitled to recover their costs. 

lsl86

Well, we found another buyer for our house, which has satisfied Bellway and allowed us to proceed with our purchase, so the issue of chargebacks / S75 is now moot.
A win for everyone I think.
Thanks everyone for your help and advice though. It was helpful!

[Deleted User]

Glad it appears to be working out.

I hope you take away from this to check small print and ask questions about 'what if' before signing or parting with cash for big ticket items.

pbartlett

glad it worked out but for anyone else finding this thread they are not allowed to arbitrarily keep the reservation fee, but only the actual costs incurred.....

"the developer should return the reservation fee less any reasonable costs that have been genuinely incurred in processing/holding the reservation. Effectively, the builder will need to be able to demonstrate that the costs are reasonable should the matter be referred to the independent dispute resolution service that is available under the Code"