what happens if i lose deposit paid on visa

J

johnnyg

Registered User
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Hi,
I put an order in for appliances up north, at the time i paid a 10% deposit using my credit card, since then the euro has strengthened against sterling and the difference between the price now and back then is over 350 euo's. I contacted the store to pay the remainder due to the great saving but i was told that they were using the euro price at the time as the final sale price and not the sterling price so i would get no reduction since they deducted the balance in euro. I think this is only being done to suit them as if it was the other way, i'm full sure i would be paying the extra based on the exchange rates.
If they refuse to pass on the difference, what are my options? Can i cancel my order, and in doing so lose my deposit? and if i did this would this be covered by the credit card company as i have not received my goods.
Any other options are much appreciated.
 
Arrive and offer the pay the balance in sterling cash. They would have a hard time rejecting that and trying to keep your deposit.
 
When you placed the order you should of received conformation of your deposit paid and the balance outstanding. What ever the balance amount is outstanding is what you have to pay, it doesn't matter what has happened to the exchange rates.

Your credit card compnay will not refund your deposit, the company is not saying it cant deliver your order, if they cancelled then yes, but not if you cancel, you are choosing not to go ahead with the order there for losing the deposit you paid.

If the saving is that much is may still be worth your while to cancel, lose your desopit and re-order at the current prices.

I know it seems unfair, but like you said if it was the other way around they would not be able to increase the price either.
 
I would have thought they would legally need to charge in sterling, and for you to pay in whatever form you can (cash, CC etc). It might be worthwhile contacting the UK equivalent of our consumer agency, or even our own to verify...

S.
 
Thanks..i will, there was no receipt sent to me or balance given.

Its like most things you buy online, you are not charged until the item is shipped and they charge your visa in sterling and you have to accept the exchange rate at that time..this is the same, but they are saying that they converted the final sterling price into euros as the fixed price..which is wrong and suits them now, if it went the other way and sterling was stronger, i bet the balance would have been in sterling!!!

I presume if i tell them i won't pay the balance, they cannot still charge my visa? if i did cancel, i would make up the loss but that is not the point. Then they are getting free money!!!
 
You didn't even get an email confirming the deposit you paid?

Can you break down the figures

i.e total amount of goods £1000
You paid 10% deposit £100

Outstanding balance £900

That would mean at the time they ship your order they will take the remaining £900 from your credit card.

I dont understand how they are now saying they are converting the final price. If £900 is left outstanding that is all they are allowed to take from your credit card, how much are they saying they are going to take?
 
the goods are coming to 6000 sterling, so the outstandng balance would be 5400, if it was a small difference then i would let it go, but over 350 euros is alot
 
So what is this company telling you that they are going to charge you? Are they saying they are going to take more than £5400? They are not allowed to do that.
 
what they are saying is that they are taking the euro price on the day of paying the deposit as the final price and not the sterling price, so even taking todays exchange rates thats a difference of 382 euros
 
It comes down to exactly what happened when you were paying the deposit, and you don't make that clear. Did the vendor give you a price in sterling or in euros? If the vendor converted the price to euros at the time you were making the deal, and quoted you that price, then you are stuck.
 
ok got you now, sorry i was thinking backwards for a while. their full of crap they cant to that, their chancing their arm with you. In order for them to do that they would have to entre more than 5400 when doing the transaction to make up for the exchange rate difference from when you first ordered.

By todays exchange rates £5400 would be €5,740.27 this is what should appear on your credit card statement.

where as say how ever many months ago it could of been say around €6000 or more.

The exchange rate for them shouldn't make a difference they would still recieve the £5400 no matter what the exchange rate is.

So if they are now saying when you first made the deposit the total cost in euro after the deposit was €6000, for them to now collect €6000 from you they would need to take £5,644.36, they can not do this!!!! All they are allowed to take is the remaining £5400.

You are well within your rights to cancel the order recieve your deposit back and then tell them to shove it and go and buy else where. They are totally stupid to try and do this and lose a sale of this amount over €382 but it is what they deserve. I would threaten legal action if they refuse.

If they had taken the full amount when you first ordered you would of been out that money going by todays exchange rates and there would of been nothing you could of done about it. But what they are trying to do is illegal and shameful on their part.
 
Padraigb said:
It comes down to exactly what happened when you were paying the deposit, and you don't make that clear. Did the vendor give you a price in sterling or in euros? If the vendor converted the price to euros at the time you were making the deal, and quoted you that price, then you are stuck.
Click to expand...


i was a little confused at first as well padraigb, but from what i have understood the OP paid a deposit of x amount and an x amount appeared on his credit card statement. The orginal quote was in sterling and what the company is trying to do is say that the date he paid the deposit is the exchange rate they are going to charge for the remaining balance. To get that exchange rate they would need to charge more than the £5400 balance to make the euro payment the same as what it was when the deposit was made.

This is totally unaccepable, they are legally only allowed to enter the sterling prices however they process there transaction.

In my opinion they are just trying to get a few extra quid out of the OP.
 
thanks..just to clear it up, the deal was made in sterling, to work out the deposit they changed it to euros
 
Let's see

Goods price £6,000- 10% deposit of £600 paid via credit card, let's assume the rate was £0.85, so would show on the card as €705. £6,000 (in total) at that time would have been €7,058.

So, euro rate is now £0.95, so when you pay the £5,400, it would show on your card as €5,684. In total, you will have paid €6,389 (€5,684 + €705) for £6,000 worth of goods-am I right so far?

What is happening now is the seller is trying to say 'no, you owe me €7,058 in total, and so you owe me another €669/£635** on top of the £6,000'-is this correct?

**(€7,058 less €6,389 is €669 and €669 @ 0.95 is £635)

(I'm too lazy to work out €350 equates to in rates etc, so have made up my own figures).
 
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