Credit Card Chargeback

johnaflood

Hi, I'm new to Ireland. I've opened an account with AIB including their credit card. My problem is this for which I'd appreciate your advice. I bought a new type of hearing aid on <SNIP> using my credit card. I have since found out that the hearing aid was a scam and the supplier (<SNIP>) is now trying to substitute a cheap Chinese hearing aid in place of their original design. I called AIB to initiate a chargeback. They refuse because they say there is no fraud and that my only recourse is with the supplier. I have proof of the scam but they are not interested. To them fraud is if my credit card details are taken without my knowledge. Their only suggestion was that if the hearing aid is not delivered I could process a chargeback.

I know that others have successfully initiated chargebacks agains their CC companies. Is AIB correct in their statement? Ought I be able to initiate a chargeback?

Thanks for your time, John

slimjimmc

Did you actually receive the cheaper product or is it a case that you suspect you will get the cheaper one?

Slippin Jimmy

Is it possible to try sort it out with supplier first? When I looked for my bank to do a charge back they looked for some sort of proof that I made contact with the other party.

L1011

If this is a crowdfunding setup, you're effectively out of luck as the T&Cs for crowdfunding sites make no guarantees of you getting anything let alone precisely what you paid for.

And a huge number of crowdfunding projects are nothing other than scams to dropship pre-existing products.

dudara

Have you received the goods yet? And what steps have you taken to resolve things with the supplier?

johnaflood

Thank you for your responses. The supplier has not yet sent out the hearing aid. What they have done is to claim that they didn't get regulatory approval and therefore have substituted the cheap Chinese hearing aid. We suspect they never had the original anyway, hence the scam.

I have not received anything. I have written to the supplier saying that I would like the original design. If that can't be done I have requested a refund but haven't had a response from the supplier.

The crowdfunding site is <SNIP>, a reputedly respected one.

Several people have succeeded in getting chargebacks in the US and other parts of Europe. We are sure <Crowdfunding site> will contest this but my query is whether the chargeback rules in Ireland are different.

I presume as a last resort I will have to go to the financial ombudsman.

slimjimmc

AFAIK chargebacks are provided under the terms of your credit card, usually the bank will refund were the seller failed to meet the purchase contract or where your card has been used fraudulently.

I don't think your situation falls under any of the normal chargeback scenarios since with crowdfunding you are making a donation to a fund for a non-monetary reward, you are not making a direct purchase. Consequently you have no contract with the crowdfunding site and it could be argued you have you have no contract with the campaign. This is made clear in the site's T&Cs.

Unfortunately the Financial Ombudsman will not get involved in complaints involving crowdfunding.
http://www.centralbank.ie/press-area/press-releases%5CPages%5CConsumerNoticeCrowdfunding.aspx

Mod note to OP: As you have made claims I would ask you not post business names, to protect boards.ie.

johnaflood

Thank you all for your helpful comments. I have learned a lesson.

I note too your point on names.

Spocker

It appears the crowdfunding site will be granting a refund: linky

johnaflood

Thank you. It would be nice if the crowdfunding site were more proactive on this. They've been resisting chargebacks all the way. We have yet to see if the chargebacks other people have got become permanent.

This has been a great shame as I love the idea of crowdfunding projects and it appears this one was a scam from the start. Even the designer didn't get paid.

johnaflood

Following on from the fraudulent activities of the company I'm not allowed to name, but GO to the crowdfunding site where the nanotechnology hearing company resides, it seems over $10k of chargebacks have been issued by credit card companies so far. I am filing a fraud complaint with the Gardai this week as we reckon they've scammed $250k out of people. And since the delivery date has long gone with nothing coming I will be asking for a chargeback again. When I spoke to AIB about this they told me nondelivery was a valid reason for a chargeback.

Let's hope!

Cabaal

Please don't bother the gardai with this matter,

johnaflood

@Cabaal why do you say that? Isn't it reasonable for police forces to be notified of fraud matters. The Gardai has a unit for this.

delahuntv

johnaflood wrote: »

@Cabaal why do you say that? Isn't it reasonable for police forces to be notified of fraud matters. The Gardai has a unit for this.

The gardai can only do something if the site is based in Ireland. Gardai have very little if any say when the crime is elsewhere, even if someone in Ireland was stung.