Direct Debit: Mavic Wheels from Cycle Superstore.

Beagh1974

Beyond Comprehension.

I called Cycle-Superstore (Dublin) today in regards to buying a Mavic Wheelset via Direct Debit. Man i spoke to said "no problem, let me speak to my boss & i will call you back". Suffice to say call was not returned, so i called back & i was told no problem. Asked how to set the ball rolling ie: paperwork, bank details, letter from work to show i have a full time contract etc etc. So of we go until i run straight into a brick wall, i pay off wheels over a year (no problem) & then they send the wheels to me! What, you mean the other way around, set up DD, i have wheels sent to me & the payments come directly out of my bank account. NO, you get wheels when you complete payments. End of conversation. Has anybody come across this before, because i am completely mystified.

Regards, Beagh.

Stokolan

Most companies will only give you the product once you've paid in full. Just because you have set up a direct debit is no safer then just going in and saying I'll give you 20 a week. You can cancel a Direct debit at anytime. Whats to stop you doing it after the first or second week?

Only way you get something first and then pay it off if the company provides a finance option.

Craig06

If you want wheels that bad either take a loan or that's why credit cards were invented.

at1withmyself

I think you've missed the difference between a Direct Debit facility and a Hire Purchase agreement. Either way your mistake by the sounds of things CSS have done nothing wrong.

CramCycle

As above, that is how what your proposing would work, you haven't given them any proof or protection, why would they give you the wheels? To do that, they would need security, interest to cover the cost of the risk (if alot of people were doing this), a contract, basically the finance option as mentioned in the replies.

cython

Have to agree with the other posters here, OP. Would you expect to be able to buy a bike from them in this manner without going through your employer for bike to work? If so then I'm afraid I have to say your perspective on businesses' obligations to potential customers (and I stress potential, as you're not really a customer until ye can agree!) is a bit warped.

Realistically the risk associated with any shop doing something like that are way too high, and that's before you consider questions such as what happens if you crash them in the first month? Will you be inclined to continue paying for them then? The arrangement as you describe being offered is a lot more typical, and is pretty much in line with the idea of a Christmas Club that would be traditional enough in retailers, though perhaps less so bike shops.

The only way I could possibly (and even this is a stretch) envision a shop doing this would be if they were selling to either the owner's mate, or a very, very trusted employee over a very short period whereby if something came up they could recoup it from a single wage cheque.

Cee-Jay-Cee

Like someone else stated your mixing up HP agreements and DB facilities. I wouldnt expect any shop to offer such a scheme. Theres nothing mystifying about it, it completely normal.

68 lost souls

I think the problem the poster faced was also a wording problem. He asked could he pay by Direct Debit, of course no problem with that anywhere I would say. What he really wanted was a hire purchase agreement which is a totally different matter. Some shops would do this but would need to go through a finance company whereby the shop gets there money straight up and the customer repays the loan albeit at normally a high rate of interest. They have no problem with you paying by direct debit, they do have a problem with hire purchase as they do not I assume have a finance agency as it is very hard for retail businesses in Ireland to get these at reasonable rates.

Having worked in a similar retail business for many years I have seen plenty of people look to buy high ticket items in this manner but the only real option which would probably better is to save up and buy them or get a loan from credit union or bank.

DirkVoodoo

I have never heard of this being done in a bike shop here, I think you would just be told to go and save up the money. Not sure why you think CSS are at fault.

johnk123

You mixed up DD and hire purchase. I think Hire Purchase is mostly being phased out I think. On a consumer level anyway. It's not very competitive when it comes to other forms of finance. Why didn't you just use a credit card or take out a loan?

CramCycle

DirkVoodoo wrote: »

I have never heard of this being done in a bike shop here, I think you would just be told to go and save up the money. Not sure why you think CSS are at fault.

My LBS would do it like a Christmas scheme, the great thing was if you changed your mind or the sizing changed, you had a little wiggle room to maneuver after the money was paid in. You never got the bike before the last installment in though.

TheBlaaMan

Beagh1974 wrote: »

Beyond Comprehension.

I called Cycle-Superstore (Dublin) today in regards to buying a Mavic Wheelset via Direct Debit. Man i spoke to said "no problem, let me speak to my boss & i will call you back". Suffice to say call was not returned, so i called back & i was told no problem. Asked how to set the ball rolling ie: paperwork, bank details, letter from work to show i have a full time contract etc etc. So of we go until i run straight into a brick wall, i pay off wheels over a year (no problem) & then they send the wheels to me! What, you mean the other way around, set up DD, i have wheels sent to me & the payments come directly out of my bank account. NO, you get wheels when you complete payments. End of conversation. Has anybody come across this before, because i am completely mystified.

Regards, Beagh.

Sorry Beagh, but as you will have gathered, your expectations are out of line here. Perhaps you were thinking of a leasing arrangement or hire purchase, as mentioned. A finance house might write a lease agreement with CSS on your behalf, but you will need to go thru a credit check for them etc and pay them off over a specified duration. Essentially, this is like a bank loan and you get your goods on Day1, but there is no way any company could or would offer the terms you seem to expect.

diomed

I agree with the other posters.

Your idea
The shop buy wheels and pay their supplier within a month.
You get wheels and a year later (or monthly) pay shop.

Business does not work if they buy stock and give it to people who might pay.
Why would they borrow from banks, or ask their shareholders for more investment, to buy wheels for you?

If given the chance you can refuse to pay for a number of reasons that make sense to you:
break the wheels; emigrate; lose your job; sell the bike; buy a house; buy a car; have a child.

GoTilUBlow

A lot of stores in the UK offer credit facilities on big ticket items like bikes and wheelsets, but none in Ireland that I am aware of. I can't see it coming here too soon either.

Lumen

It's great to see that CSS have such a well-developed sense of humour.

BeepBeep67

diomed wrote: »

I agree with the other posters.

Your idea
The shop buy wheels and pay their supplier within a month.
You get wheels and a year later (or monthly) pay shop.

Business does not work if they buy stock and give it to people who might pay.
Why would they borrow from banks, or ask their shareholders for more investment, to buy wheels for you?

If given the chance you can refuse to pay for a number of reasons that make sense to you:
break the wheels; emigrate; lose your job; sell the bike; buy a house; buy a car; have a child.

Jaysus that's like a country and western song!

happytramp

BeepBeep67 wrote: »

Jaysus that's like a country and western song!

I would listen to that song.

GTDolanator

LOL

CramCycle

happytramp wrote: »

I would listen to that song.

I keep hearing that country singer from the Simpsons Lurleen Lumpkin:

https://www.youtube.com/watch?v=PCcgPt3VdsM

Beagh1974

Thank You for above advice.

Just to confirm, i have no problem with CSS what so - ever. Having used them on many occasions (cash payments only) in the past. And as suggested i always save up for what i need (CASH - don't have a credit card) but this one time i tried the direct debit route due to price of wheels. If i was buying a new oven or fridge freezer from Harvey Norman or Curry's for a laptop, would they keep required item for a year until payments had been completed?. I understand the above comments (no problem with any comments above) so i will have to go down the bank loan route i suspect. I'm just a little confused as to fellow club members buying brand new bikes, to be paid off over 2/3 years via direct debit. Yet i cannot buy a Wheelset following the same route.

Regards, Beagh.

PS: I can buy wheels via, Merlin Cycles & many other UK based (much cheaper price) shops via D/D but would rather buy wheels from home.

AltAccount

Beagh1974 wrote: »

Thank You for above advice.

Just to confirm, i have no problem with CSS what so - ever. Having used them on many occasions (cash payments only) in the past. And as suggested i always save up for what i need (CASH - don't have a credit card) but this one time i tried the direct debit route due to price of wheels. If i was buying a new oven or fridge freezer from Harvey Norman or Curry's for a laptop, would they keep required item for a year until payments had been completed?. I understand the above comments (no problem with any comments above) so i will have to go down the bank loan route i suspect. I'm just a little confused as to fellow club members buying brand new bikes, to be paid off over 2/3 years via direct debit. Yet i cannot buy a Wheelset following the same route.

Regards, Beagh.

PS: I can buy wheels via, Merlin Cycles & many other UK based (much cheaper price) shops via D/D but would rather buy wheels from home.

No, you can buy them on finance, which is collected via DD.

Same for the fridge or laptop - the shop gets paid in full before goods are released. You pay the finance company over time to repay the loan.

You need to talk to your club members, either they're as confused as you are, or they're winding you up.

Beagh1974

Thank you all for your comments.

Just to point out the difference between DD - Direct Debit & HP - Higher Purchase. Yes, i do know the difference between the two and a bank loan, ie:finance. Having lived in the UK in the past i have an Irish & English Bank Account both via the AIB. I have ordered said Mavic Wheelset via AIB UK (bank loan) resulting in a brandnew wheelset coming in from the UK at a much lower price taking into account P&P & any import Taxes. So, yet more money going out of Rip Off Ireland to a foreign country. Can anybody tell me why AIB - UK & AIB - IRELAND seem to operate in a completely different manner. Please note my initial question was in relation to how an Irish LBS (and in know-way a slagging of CSS) carries out their business. Please note this is Boards.ie & not Youtube. So i suppose the slagging will start if people can be bothered to follow this thread. Thank you to all of you who offered constructive advice.

Regards, Beagh.

AltAccount

Beagh1974 wrote: »

Thank you all for your comments.

Just to point out the difference between DD - Direct Debit & HP - Higher Purchase. Yes, i do know the difference between the two and a bank loan, ie:finance. Having lived in the UK in the past i have an Irish & English Bank Account both via the AIB. I have ordered said Mavic Wheelset via AIB UK (bank loan) resulting in a brandnew wheelset coming in from the UK at a much lower price taking into account P&P & any import Taxes. So, yet more money going out of Rip Off Ireland to a foreign country. Can anybody tell me why AIB - UK & AIB - IRELAND seem to operate in a completely different manner. Please note my initial question was in relation to how an Irish LBS (and in know-way a slagging of CSS) carries out their business. Please note this is Boards.ie & not Youtube. So i suppose the slagging will start if people can be bothered to follow this thread. Thank you to all of you who offered constructive advice.

Regards, Beagh.

The wheels are cheaper from the UK after you factor in the cost of borrowing the money from AIB? Sounds like you got a good deal then.

wirelessdude01

Not quite sure where you want this thread to go now. You got your wheels and seemingly at a good price. Local bike shops generally can't match the prices of the onliners. I've never once heard of any type of shop giving you the product while you pay later for the terms that you seemingly wanted. HP/finance all the way. Even those Christmas hamper clubs don't give the product unless it is fully paid off.

spyderski

Beagh1974 wrote: »

Just to point out the difference between DD - Direct Debit & HP - Higher Purchase. Yes, i do know the difference between the two and a bank loan, ie:finance.

So many things about this sentence suggest you don't.....

spyderski

Sorry, that might seem unhelpful or dismissive, which I don't want to be.

As other posters have pointed out, what you were looking for is a credit facility.You wanted to pay off this credit facility by Direct Debit. CSS do not have an arrangement with a finance company to provide such a facility. Many retailers in the UK do, due to the increased general availability of consumer credit in the UK.

Wherever you bought your wheels from in the UK, you will have entered into a finance agreement with a financial services provider - not the retailer.

BTW, I'd be pretty sure the terms & conditions of same agreement would stipulate that you must be resident in the UK, so you are almost certainly already in breach of same agreement. In fact this is perfect example of a credit provider providing credit to a customer who should not have got the facility in the first place as they cannot chase the debtor if they decide not to pay (as you are outside the jurisdiction where they are licenced to practice). Kind of like the sloppy lending practices AIB used to adhere to in Ireland before it all went t*ts up......

TonyStark

Beagh1974 wrote: »

Thank you all for your comments.

Just to point out the difference between DD - Direct Debit & HP - Higher Purchase. Yes, i do know the difference between the two and a bank loan, ie:finance. Having lived in the UK in the past i have an Irish & English Bank Account both via the AIB. I have ordered said Mavic Wheelset via AIB UK (bank loan) resulting in a brandnew wheelset coming in from the UK at a much lower price taking into account P&P & any import Taxes. So, yet more money going out of Rip Off Ireland to a foreign country. Can anybody tell me why AIB - UK & AIB - IRELAND seem to operate in a completely different manner. Please note my initial question was in relation to how an Irish LBS (and in know-way a slagging of CSS) carries out their business. Please note this is Boards.ie & not Youtube. So i suppose the slagging will start if people can be bothered to follow this thread. Thank you to all of you who offered constructive advice.

Regards, Beagh.

If this was the cheaper and best option then why not do it from the off. You enquired whether they had a direct debit facility, they had. However it wasn't the higher purchase arrangement that you had intended. It's clear you misunderstood this.

For instance recently enough we got married. The shop were flexible enough to let us pay off on the rings in advance. At no point did we think by paying a few installments we would be entitled to the rings until the balance was squared.

I understand you being sore about the shop not being able to facilitate you, but it's not really a reason to digress into a rip off republic rant, in this case it's not relevant. It's not really a fair to implication to level on a cycle shop. If they were to offer such services that you require imagine how many of them would be to the wall. The arrangement as you describe it is unworkable.

Harrybelafonte

Higher Purchase? Seriously?

TheBlaaMan

Beagh1974 wrote: »

Thank you all for your comments.

Just to point out the difference between DD - Direct Debit & HP - Higher Purchase. Yes, i do know the difference between the two and a bank loan, ie:finance. Having lived in the UK in the past i have an Irish & English Bank Account both via the AIB. I have ordered said Mavic Wheelset via AIB UK (bank loan) resulting in a brandnew wheelset coming in from the UK at a much lower price taking into account P&P & any import Taxes. So, yet more money going out of Rip Off Ireland to a foreign country. Can anybody tell me why AIB - UK & AIB - IRELAND seem to operate in a completely different manner. Please note my initial question was in relation to how an Irish LBS (and in know-way a slagging of CSS) carries out their business. Please note this is Boards.ie & not Youtube. So i suppose the slagging will start if people can be bothered to follow this thread. Thank you to all of you who offered constructive advice.

Regards, Beagh.

Whether you know/understand it or not, you are paying an interest rate of some sort on the deal. EG. If the wheels cost 300 and postage 20, you are repaying an amount considerably greater than 320 - probably closer to 400 depending on the term over which you are repaying. The online retailer that you bought from gets 320 and the financier (whoever ) get the balance - probably 15% or so of the purchase price. Good luck with them in any case, but you are not comparing apples with apples...

ThisRegard

Harrybelafonte wrote: »

Higher Purchase? Seriously?

It's when you pay at the till on the top floor.

TonyStark

Harrybelafonte wrote: »

Higher Purchase? Seriously?

....meh! Speed typing on a phone, on a train, first thing in the morning.

Squidgy Black

OP is living in looney land. CSS is a shop, not a bank for christ's sake.

If you want the wheels that desperately, and to be honest if you have to pay via DD then maybe have a think about your finances and whether you can actually afford them, then just get a credit union loan/bank loan like a normal person.

Small independent shops in Ireland can't afford to do DD, stores like Merlin in the UK or even Currys and Harvey Norman over here as you mentioned, they're all huge chains, who can easily cover their suppliers costs and the delay of payments etc. A smaller store would be left out of pocket for months, and there's the chance that you'd ride off into the sunset with your new mavic's.

Wakey wakey buddy, join the real world.

Dermot Illogical

OP, you've basically asked CSS if you can run a tab.
They'd have gone out of business by now if they offered such a facility.