Keep one eye on the news to safeguard your money

THE collapse of Mothercare has shown us how much the high street as we know it has changed forever. In 2018, 43 brand names went bust, closing 2,594 stores. And 2019 will end with even grimmer stats.

Understandably, many people are concerned about what happens when a business goes bust when you’ve paid but haven’t got what you bought.

You can’t guarantee a firm won’t go bust, but here’s a few simple tips on how to shop so you’ve got more rights:

FIRST, call your bank and ask them to ‘charge back’ your money. Explain this is urgent and that the business is going in to administration.

Chargeback is an agreement between plastic card providers and can be used on payments made by debit or credit card. Your bank should try to get you the cash back as soon as possible, but if administrators have closed the firm’s accounts, it may be too late.

IF YOU’VE bought something that doesn’t work but the retailer goes bust, There are ways to contact the get cash back when manufacturer to see if a firm goes bust you can get a repair,

replacement or refund. If you’ve not received your goods, ask for a ‘charge back’ from your card provider.

YOU’VE got lots of statutory protection if you pay using a credit card. A nifty law called the Consumer Credit Act says if you pay for on a card for something that costs over £100 and less than £30,000 you could claim the money back from the card provider.

You don’t even have to have spent the whole amount on the card as long as the deposit falls within the limits. This is known as making a claim under ‘section 75’.

IT’S not a legal right, but card providers run a ‘chargeback’ scheme which means you might be able to ask them to recall your money. But act quickly. If a firm goes bust it may be too late.

Using electronic money services like PayPal also gives you some rights, but read the dispute resolution rules first.

YOU have no rights to recall your money if this happens.

Always question businesses that ask for payments this way and don’t pay if you can’t afford to lose it

IF A firm goes bust, vouchers and gift cards become invalid. They are treated as cash you are owed.

Some firms in administration have honoured vouchers, but if you hear rumours that a business is in trouble use gift cards and vouchers before it’s too late.

As money is usually refunded to the card of the person who paid for the vouchers, speak to whoever bought them for you. Failing that, get down to the shop and spend them!

IF you’re worried you’ve been stitched up by a dodgy retailer, speak to your local Trading Standards officer – they’re based in the council offices.

They can let you know if there’s a wider problem and can investigate the business if they think there’s a cause for concern.

The best way to protect yourself is to keep your eye on the news. If it sounds like a firm is in trouble contact them ASAP.

But act quickly – it’s the best way to safeguard your hardearned cash.

Resolver can help you sort out complaints about pretty much anything. Check out resolver.co.uk and share your experiences at yourstories@ resolvergroup.com