What happens to the goods after a successful charge back

Davelane

Good afternoon

We purchased a car from an independent dealer back in January, they have failed on numerous issues, not supplying a 12 month warranty and the mileage is in question, the retailer said he couldn't afford to pay for the warranty, and then said he was going out a business, so we applied for a chargeback claim through our CC provider, which has been accepted by either the seller of vehicle, or the sellers bank, so we have a full refund, my question is what happens to the goods, my CC provider doesn't know, as the chargeback was accepted by the merchant.

I have looked at various sites and it says the merchant loses the goods

Thanks in advance

molerat

I have looked at various sites and it says the merchant loses the goods

No, the goods belong to the seller. You need to contact the seller and tell them the vehicle is available for collection.  They could issue a court claim against you, whether they would win or not is a whole different matter.

When did you apply for the chargeback and when did the bank refund you ? Has the seller definitely accepted the chargeback or simply not responded ? The seller could still contest the chargeback and the money could be re-debited.  Chargeback is a contractual matter, there is no legal basis for it. As a credit card was used a S75 claim would have been the safest option as once agreed the bank is the one that refunds you and that is the end of it.  The goods then become the property of the bank and they would decide what to do with them.

born_again

Davelane said:

Good afternoon

We purchased a car from an independent dealer back in January, they have failed on numerous issues, not supplying a 12 month warranty and the mileage is in question, the retailer said he couldn't afford to pay for the warranty, and then said he was going out a business, so we applied for a chargeback claim through our CC provider, which has been accepted by either the seller of vehicle, or the sellers bank, so we have a full refund, my question is what happens to the goods, my CC provider doesn't know, as the chargeback was accepted by the merchant.

I have looked at various sites and it says the merchant loses the goods

Thanks in advance

When did you get refund?
As that happens when chargeback is started. Retailer than has 45 days to contest.
If you win the chargeback, retailer can chase you as your still have the car.

DullGreyGuy

Retailer themselves have 45 days to respond from when its presented to them and banks have time to process the response after its received. The chargeback generates an initial refund which can be clawed back if the merchant successfully defends the claim... many are caught out when payment is taken back months later. 

If you are successful you are holding property that you haven't paid for... what do you think normally happens if you take something from a shop without paying for it? The title passes back to the dealer and you are obliged to make it available to them for collection or return it yourself. 

There are many cases on here of people finding themselves in court after making a spurious chargeback that they've won and so the merchant issues proceedings on them. In a small business forum it was the recommended approach rather than wasting time defending chargebacks.