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. 

Davelane

We have tried to contact the dealer, no longer in existence, phone number and email no longer work, handed back premises to Landlord, Landlord refusing to give us any forwarding details.

Spoke to our credit card provider, they had stated matter closed

Spoke to dealers bank, refused to speak to me, emailed them to state unless we hear to the contrary, we will dispose of the goods, no reply.

Chargeback was finally credit in May 2024, we are now in January 2026, and we have kept the car for collection, how long do we need to keep it for.

We haven't sold it, as that getting betterment from the chargeback, do we keep this indefinitely until someone comes to collect, or has that got a time limit ?

Can we charge them storage /maintenance against any claims, or if someone comes to collect, just hand it over?

Would the bank just write off the debt?

Grumpy_chap

Chargeback is the equivalent of stopping the cheque.
The dealer can challenge the chargeback, though that time scale appears to have expired in this case.
The dealer can also pursue their losses through the courts; the usual time limit is 6 years.
Was the dealer a Ltd Co or sole trader?

You may find this thread worth a read:
https://forums.moneysavingexpert.com/discussion/6650020/won-ccj-refund-for-faulty-car-do-i-legally-have-to-give-the-car-back/p1

born_again

If the dealer has closed down (companies house check) than you would be free to do what you like. Just keep money on one side.

Bank has no interest in car, as they got t he money from dealers bank. Odds on they just took it out of dealer account. Or if not money in there went court route.

MEM62

Davelane said:

Chargeback was finally credit in May 2024, we are now in January 2026, and we have kept the car for collection, how long do we need to keep it for.

As you were refunded 20 months ago and did the right thing by trying to return the car (albeit unsuccessfully) I doubt that anyone is going to come for it now.  Is it registered in your name still and is it useable?