Help with the Chargeback Process

BlueBoxMan63

Hello everyone, it was suggested to me that I join this site to seek the wisdom of those more in the know than I am. Back in July I entered into a dispute with a trader over a faulty vehicle I was sold. I made efforts to speak to the owners and get my money back but this was rejected.

I was advised to contact the bank as I paid by debit card and pursue a chargeback. I'm actually quite clueless on this process however so am looking to build my understanding of how it works. Am I right in saying the process runs off calendar and not working days? I received an initial letter from my bank confirming they were looking into things but have had no correspondence since. By my maths we are now on 32 calendar days. I spoke by phone with the bank today and was told the case was still open and the opposing side had not responded but the whole process takes up to 8 weeks. 

Where should we be in the process now and when would it be likely that I would hear anything concrete one way or the other from the bank? Thank you all in advance for your thoughts.

eskbanker

The Visa/Mastercard chargeback process gives the merchant 45 days to respond from when the bank notifies them that chargeback has been initiated, so allowing a bit of time elsewhere in the process it could easily be 8 weeks from start to finish.

BlueBoxMan63

eskbanker said:

The Visa/Mastercard chargeback process gives the merchant 45 days to respond from when the bank notifies them that chargeback has been initiated, so allowing a bit of time elsewhere in the process it could easily be 8 weeks from start to finish.

Thank you, it's all very complicated isn't it? I've never had to do one before so I'm not all that clued up on the process. So I assume that come the 45 day mark I may here something from the bank?

eskbanker

Yes, you ought to hear back from the bank at the end of that 45 day period.

In case you're not aware of the significance of the chargeback process, it's simply a mechanism via which your bank can recover funds from the merchant on your behalf, but even if it succeeds, there's nothing to stop the merchant from pursuing you for (what it considers to be) the debt, i.e. a successful chargeback isn't some sort of binding adjudication and is sometimes not the end of the matter, especially for high value transactions where there is scope for dispute about the issue.

BlueBoxMan63

eskbanker said:

Yes, you ought to hear back from the bank at the end of that 45 day period.

In case you're not aware of the significance of the chargeback process, it's simply a mechanism via which your bank can recover funds from the merchant on your behalf, but even if it succeeds, there's nothing to stop the merchant from pursuing you for (what it considers to be) the debt, i.e. a successful chargeback isn't some sort of binding adjudication and is sometimes not the end of the matter, especially for high value transactions where there is scope for dispute about the issue.

I'm very grateful for your help. The case is about a car I purchased that turned out to be very faulty, and which they, the garage, are now refusing to refund. Its about £5,500 in all. The car is still with the garage so my assumption is if I succeed in my chargeback bid it is wise to transfer ownership of the vehicle back to the garage. I shall be glad when this all comes to an end!

eskbanker

What's the garage's position on the matter - are they denying that the problems exist, or wanting the chance to repair rather than refund, or something else?  Has the vehicle been examined by an independent mechanic?

I'm sure you'll be glad once it's finally sorted, but I was just wanting to flag that a chargeback, even if successful, doesn't necessarily achieve that....

BlueBoxMan63

eskbanker said:

What's the garage's position on the matter - are they denying that the problems exist, or wanting the chance to repair rather than refund, or something else?  Has the vehicle been examined by an independent mechanic?

I'm sure you'll be glad once it's finally sorted, but I was just wanting to flag that a chargeback, even if successful, doesn't necessarily achieve that....

I took it back on two occasions within the first month I bought it for the same issues. The first time they claimed to have fixed it the second I was told it was not viable to fix due to a large number of engine issues. Apparently the owner was on holidays and I was asked to phone back a few days later when he was back. Low and behold it proves impossible to speak with him.

I inform them I don't want to swap the car and I wanted my money back several times in several different phone calls. One day then the car had suddenly been fixed but they couldn't or would not tell me what had been done to it, by whom and what the exact engine problems were in the first place. I told them I would take the matter further and was told to "crack on". I have not heard from them since. I contacted the bank then and trading standards.

The second time I took the car back it was sent to a "partner garage" as the actual garage mechanic was off sick. I think I've worked out where it went that day but other than that no other mechanic has been to look at it. Of course, I entirely understand your point. I just look forward to things moving a bit at least. I rather rely on the car and it's been a right hassle without it I can tell you.

eskbanker

BlueBoxMan63 said:

I inform them I don't want to swap the car and I wanted my money back several times in several different phone calls.

Did you at any point state that you were exercising your short term right to reject, as enshrined in the Consumer Rights Act?  Were they offering a swap, as in a replacement car?

BlueBoxMan63 said:
One day then the car had suddenly been fixed but they couldn't or would not tell me what had been done to it, by whom and what the exact engine problems were in the first place. I told them I would take the matter further and was told to "crack on". I have not heard from them since.

So their argument will perhaps be that they've fixed the car and are waiting for you take possession of it again?

BlueBoxMan63

eskbanker said:

BlueBoxMan63 said:

I inform them I don't want to swap the car and I wanted my money back several times in several different phone calls.

Did you at any point state that you were exercising your short term right to reject, as enshrined in the Consumer Rights Act?  Were they offering a swap, as in a replacement car?

BlueBoxMan63 said:
One day then the car had suddenly been fixed but they couldn't or would not tell me what had been done to it, by whom and what the exact engine problems were in the first place. I told them I would take the matter further and was told to "crack on". I have not heard from them since.

So their argument will perhaps be that they've fixed the car and are waiting for you take possession of it again?

I told them I had a legal right to reject the vehicle and that I was doing so within the timeframe. It didn't seem to phase them. When I told to phone back to speak to the manager I was told it was to arrange my refund or if I wanted then maybe have another car off them in it's place. I told them I would take the money and have now repeatedly done so.

That is something I think they could try to argue. However, they wouldn't tell me over the phone what had been done to it to fix it or what the exact engine problems were to start off with. I was not consulted on any further work being done to it either. I was told "not to worry" about these things and pressured to collect the car, which I have not.

Alderbank

It is costly for the dealer to take a car back for full refund. They are left with a car with problems and an extra owner in the logbook.
They will therefore try their best to persuade you to keep it. 
Sometimes the buyer will agree to do that if the deal is sweetened enough. Otherwise, in Sunak's words, 'hold your nerve'.

BlueBoxMan63

Alderbank said:

It is costly for the dealer to take a car back for full refund. They are left with a car with problems and an extra owner in the logbook.
They will therefore try their best to persuade you to keep it. 
Sometimes the buyer will agree to do that if the deal is sweetened enough. Otherwise, in Sunak's words, 'hold your nerve'.

I was doing some more research into the garage and the car over the weekend. I discovered an old Facebook post from November 2022 of the car I purchased listed for £700 cheaper. When I purchased it there was two small paw print stickers, one of the fuel flap on on the boot. I have pets so it didn't bother me but in the Facebook post neither are present in the pictures.

On top of that a garage window sticker in the back window (name of garage etc) was at the top in the middle when I bought it. In the post I found it is in the bottom right hand corner. It suggests to me that someone may have bought the car between November and when I did but returned it to the garage, perhaps with the same issues I have been experiencing.