Looking for advice for faulty product/ bank charges reclaim

Snufflespain1

Hello I’m looking for some advice. I purchased a product which developed a fault. The company refuse to replace or repair despite having a 2 year warranty and being 6 months old.

Despite trying to resolve with the company, they continued to refuse. I therefore went to my bank to reclaim the charges which it successfully did and I now have the full amount back in my account.

The issue I now have is where I originally paid in 6 monthly instalments through Divide Buy 0% interest, divide buy now state I owe them and have outstanding credit. I have stated to them the situation but they continue to send correspondence threatening escalation and that they ‘will report your default to credit reference agencies which may mean it is harder to get credit in future and that they may transfer my agreement to a third party’.

Would anyone have any advice what I should do as I am concerned if this will now effect my credit score or that they will even escalate to bailiffs. I’d be interested to know if they can actually claim money back from me as surely they should claim from the company I bought from instead?

Thank you.

Caz3121

have you returned the product? if you still have the item then you may find the chargeback will be reversed

Did you buy direct from the company?…often the retailer is one body and the manufacturer is another

under or over 6 months since purchase? if over then you may need to get an independent report to show it is an inherent fault

Snufflespain1

Thank you for your reply. I bought it directly from the company. I haven’t returned the product as the company haven’t offered to accept the return. The item was just over 6 months old and had a 2 year warranty.

born_again

As you paid via Divide buy, you claim should have been through them, not your bank. You have opened a real can of worms now.

Devide buy are a unregulated lender offering BNPL. So expect them to chase for you to pay them back. Could go as far as court & a CCJ.

BobStokes10

The important thing here is to separate the different parts of the transaction, because each company only sees their own side of it.

1. The retailer and the warranty You’ve tried to resolve the fault directly with the retailer under the warranty, and they’ve refused to repair or replace. That’s the part that led you to go through your bank.

2. The bank refund Your bank has refunded you, so from their perspective the dispute is closed.

3. The DivideBuy agreement DivideBuy will still show the instalment plan as active unless they’ve been told that the original transaction has been reversed. They should be able to confirm the amount they originally paid the retailer, whether they’ve recovered that amount and why the credit agreement hasn’t been updated

At this stage, it’s not about who is right or wrong — it’s about getting a clear breakdown from DivideBuy so you can see what they believe is still outstanding and why.

For now, keep everything in writing and ask them for the original credit amount, any adjustments made after the bank refund, the current balance they believe is owed.

Once you have that, people here can help you understand where the figures are coming from.

Also worth noting that bailiffs can only get involved after a formal process, so you’d receive plenty of written notice long before anything like that could happen.

born_again

https://forums.moneysavingexpert.com/discussion/comment/81994865#Comment_81994865

2. The bank refund

 Your bank has refunded you, so from their perspective the dispute is closed.

No it is not.

Your bank refunds you, then starts the process to claim the money back from who you claim againts bank. Retailer has 45 days to reject the chargeback via card regulations. Some do some dont, if they do not then they can go the legal rouute.

Any dispute is not closed, till the timeframe for retailer to respond is passed.

BobStokes10

https://forums.moneysavingexpert.com/discussion/comment/81995546#Comment_81995546

Thanks — agreed that the retailer still has the window to challenge the chargeback.

The key thing now is that DivideBuy’s system hasn’t updated to reflect the reversal. That’s the part causing the confusion, not the chargeback itself.

The most useful next step is to ask DivideBuy for a reconciliation of their records:

The amount they originally paid the retailer

Whether they’ve received a chargeback notification

Whether their ledger still shows the retailer as having been paid

Why the credit agreement hasn’t been adjusted

Once they provide that, it becomes clear whether there’s a genuine outstanding balance or just an admin delay on their side.

Hope that helps.

born_again

https://forums.moneysavingexpert.com/discussion/comment/81995997#Comment_81995997

Can I ask are you the OP posting under a different user name?

How a company notes on their systems is down to them. Best guess in this case, given that they are chasing non payment, clearly have updated systems.

It could just be finance team that have access to certain notes in cases like this.🤷‍♀️Which are not avaiable to front line staff.

BobStokes10

https://forums.moneysavingexpert.com/discussion/comment/81996019#Comment_81996019

No, I’m not the OP.

I’m just explaining the practical next step from the customer’s side. Whatever internal notes DivideBuy have, the OP still needs a clear written breakdown of what they believe is owed and why. That’s the only way the OP can understand whether this is a genuine balance or an admin mismatch.

I’ll leave it there so the OP can decide what’s most helpful for them.

visidigi

Wait a minute…. when you got the refund from the bank that goes to divide buy to settle the finance. Currently you have the product, the refund and the debt. Your debt is not wiped out by you getting a refund from the bank.

Just one question, was it under 6 months old? If it wasn't then they are entitled to ask for proof the issue was there at the point of purchase. Did they refuse or did they ask you for a report and you felt you didn't need to?

Grumpy_chap

So, is the situation here:

• The OP purchased the item, let's say £110.
• The OP paid for the item using BNPL (Divide Buy).
• The OP now owes BNPL £110 (to be paid over 6 months). DEBT
• The item went faulty.
• The OP has not returned the item (retailer not agreed).
• The OP has been refunded by their bank.

So, the OP now has the ITEM plus the REFUND (£110) plus the DEBT.

The OP needs to use the REFUND to pay the DEBT.

OR - was the DEBT already paid by the OP before the refund?