Business closed

geekychick

I got a text this afternoon from the owner of a beauty salon where I got a €100 voucher at Christmas, she has closed down the business - finito!

I was going to use the voucher this summer (they last a year), either this month or the next. Is this now my €100 gone, and that's that, no recourse to anything, nothing I can do to get any kind of compensation?

I am fuming. Such a clever idea, isn't it, promote buying vouchers to customers at a slightly better value than buying the service outright, get the money, profit, close down the business, bye bye. I mean, if she was "professional" enough to text each customer about the business having closed, why else would she not text them in advance so they can hurry up and use the vouchers before she closes down?

€100 is a lot of money for me. I am NOT happy. Definitely not falling for this trick ever again.

AfterLife

She's dead sneaky considering she waited 7 month until you were just about to use the voucher to close her business. Maybe she will reopen as a psychic.

Have you texted her back to ask about the voucher?

GarIT

geekychick wrote: »

Is this now my €100 gone, and that's that, no recourse to anything, nothing I can do to get any kind of compensation?

I mean, if she was "professional" enough to text each customer about the business having closed, why else would she not text them in advance so they can hurry up and use the vouchers before she closes down?

If they place has gone into liquidation you might be able to get something back from the liquidator but it's unlikely. If it's just closed nothing you can do assume the whole company is gone.

Most small business owners try to keep fighting until the last day. Sending out a text to use your vouchers now because the business might close would likely force the immediate closure of the business from large immediate losses. I've been in a situation before where revenue wanted to close a business and it was down to the hour whether we would get enough cash in to pay them off by 2pm to stay open for another year. If we said we were likely to close we wouldn't have gotten the money to stay open.

Trasna1

Yes, it's gone.
You are technically an unsecured creditor, at the very end of the list - in theory you could get something back, but highly unlikely.

Any place flogging steep discount/groupon vouchers I am always wary of. Some business owners use them to get cash in quickly to keep the wolf temporarily from the door - however they can break a struggling business when they are redeemed.

geekychick

Trasna1 wrote: »

Yes, it's gone.
You are technically an unsecured creditor, at the very end of the list - in theory you could get something back, but highly unlikely.

Any place flogging steep discount/groupon vouchers I am always wary of. Some business owners use them to get cash in quickly to keep the wolf temporarily from the door - however they can break a struggling business when they are redeemed.

Thanks, guys. Yup, there is a big lesson in this for me - for example if I had been aware of the above (your last paragraph), I would have never gone near those vouchers. Well, I'll know from now on!

I haven't texted her back yet, I have to wait for the red mist to clear somewhat. However, I know that in all probablility this is the last I'll hear from this person; while I am (obviously) naive, I'm not THAT naive!

CeilingFly

Did you pay by cash or card?

Twenty Grand

Sneaky woman probably ran her company out of business just to spite you in particular..

geekychick wrote: »

I was going to use the voucher this summer (they last a year), either this month or the next

Or the next, or the next :rolleyes:

ytpe2r5bxkn0c1

Waiting seven months to redeem any voucher is foolhardy.

CeilingFly

sugarman wrote: »

Doesn't make any odds at this stage, chargebacks are only ever 2-3 months tops if that's what you're suggesting.

Vouchers and gift cards are the biggest con going, got burnt myself with HMV vouchers a few years ago.

Incorrect

fritzelly

If €100 is so much money for you why wait this long to use it
You have no chance of getting the money back bar calling Joe and getting some false promises.

As for the chargeback - the business is closed, doesn't matter how much time but 4 months would be the max in general anyway

Atlantic Dawn

A voucher is the most thoughtless gift ever, cash is king no restrictions, no fees.

the_pen_turner

Atlantic Dawn wrote: »

A voucher is the most thoughtless gift ever, cash is king no restrictions, no fees.

exactly. its like giving someone 100 euro and telling them they can only spend it with your friend mary in her shop

geekychick

I paid in cash.

I waited that long because I bought two vouchers, one I used straightaway, one I was saving for exactly this time of year. When a treatment is pricey, you want to squeeze the most benefit out of it before you go again, I suppose.

Kind of feels a bit better to know I am not the only one to get burnt like this, so thanks.

coylemj

geekychick wrote: »

I paid in cash.

I waited that long because I bought two vouchers, one I used straightaway, one I was saving for exactly this time of year. When a treatment is pricey, you want to squeeze the most benefit out of it before you go again, I suppose.

Kind of feels a bit better to know I am not the only one to get burnt like this, so thanks.

I assumed you had been given the voucher as a gift.

Why on earth would you buy a voucher for yourself and pay in cash? Did you get a markup - like you paid €100 for a €150 voucher?

Either way, you are an unsecured creditor and are at the back of the queue so can expect to get nothing.

geekychick

coylemj wrote: »

Why on earth would you buy a voucher for yourself and pay in cash? Did you get a markup - like you paid €100 for a €150 voucher?

Yup, that's it. So I thought it was a good deal. That'll learn me!

CeilingFly

geekychick wrote: »

I paid in cash.
.

Always pay by card for vouchers.

New protection brought in by visa and Mastercard allow you 6 months from denial of use to make a chargeback.

Its specifically aimed at gift vouchers.

Applies to both debit and credit card payments.

irishgeo

It's probably a sole trader business. No limited liability there. Her house could be sold to pay her debts.

davo10

irishgeo wrote: »

It's probably a sole trader business. No limited liability there. Her house could be sold to pay her debts.

Theoretically yes, but realistically, it's a stretch.

thebull85

the_pen_turner wrote: »

exactly. its like giving someone 100 euro and telling them they can only spend it with your friend mary in her shop

i always get my OH a voucher for her favourite store or make up brand, only reason i do is to make sure she buys something for herself instead of giving her cash and her ending up spending it on crap for the house.

Tzardine

Atlantic Dawn wrote: »

A voucher is the most thoughtless gift ever, cash is king no restrictions, no fees.

Dead right. I would always give cash over a voucher.

Accepted everywhere and does not go out of date.

J.pilkington

CeilingFly wrote: »

Did you pay by cash or card?

Why did you ask this if as you know it makes zero difference due to charge back not being possible because of timeframe? Strange.

geekychick wrote: »

I got a text this afternoon from the owner of a beauty salon where I got a €100 voucher at Christmas

dudara

J.pilkington wrote: »

Why did you ask this if as you know it makes zero difference due to charge back not being possible because of timeframe? Strange.

See CeilingFly’s last post. He explains why

CeilingFly

J.pilkington wrote: »

Why did you ask this if as you know it makes zero difference due to charge back not being possible because of timeframe? Strange.

Eh?

Try reading my post - I've written it in very plain English

J.pilkington

CeilingFly wrote: »

Eh?

Try reading my post - I've written it in very plain English

The OP wants advice on their lost voucher, you asked them how they paid as if you had a solution for them

It’s clear you were about to give misleading / false advice and when pulled up only then did you check your facts via google and reply to another poster in a rude manner

CeilingFly wrote: »

Incorrect

dudara

@J.pilkington - lay off it. Focus on helping the Op instead of arguing on thread.

dudara

Sleeper12

I think your money is gone but I would definitely contact her if possible. She might be willing to provide her service to the value of 100 in your own home or her own. Most people who close up a business do not want to leave people stranded. I'd imagine it would cost her very little in materials. It would mean giving you an hour or so of her time. It's not a big ask imo

CeilingFly

J.pilkington wrote: »

The OP wants advice on their lost voucher, you asked them how they paid as if you had a solution for them

It’s clear you were about to give misleading / false advice and when pulled up only then did you check your facts via google and reply to another poster in a rude manner

Poster was incorrect - what misleading/false about that?

No need for me to check google when I know the facts because its pertinent to my own business.

All information provided here almost 2 months ago for when Gift experience Ireland went bust - some very happy posters on this thread. Even someone who did not initially believe what I said was surprised at how quick and easy it was
https://www.boards.ie/vbulletin/showthread.php?t=2057872200&page=2



So anything misleading about providing verifiable factual information that has already been proven by other posters with gift vouchers issued up to 12 months ago getting immediate and full refunds via visa/mastercard chargebacks.

I think not.

For everyone else, ALWAYS buy gift cards with a debit/credit card. Visa and mastercard have built in insurance if anything goes wrong and you can claim up to 4 months after being told it is not valid/company closing subject to an overall maximum time of 540 days and subject to the card being valid at the time of claim.

coylemj

geekychick wrote: »

I am fuming. Such a clever idea, isn't it, promote buying vouchers to customers at a slightly better value than buying the service outright, get the money, profit, close down the business, bye bye.

The offer that you fell for availed of sounds like a money grab by a company that was already in trouble.

geekychick wrote: »

I mean, if she was "professional" enough to text each customer about the business having closed, why else would she not text them in advance so they can hurry up and use the vouchers before she closes down?

Why didn't she text people to come in and spend the vouchers before she closed down? Because your money was spent months ago on wages and overheads so the last thing she wanted was people coming in for services and 'paying' with vouchers.

geekychick

coylemj wrote: »

The offer that you fell for availed of sounds like a money grab by a company that was already in trouble.



Why didn't she text people to come in and spend the vouchers before she closed down? Because your money was spent months ago on wages and overheads so the last thing she wanted was people coming in for services and 'paying' with vouchers.

You see, this is what is so infuriating to me - never mind the last thing she wanted. The last thing I want is to get up in the morning and go to work, but I have to as I try to live in a fair way, respecting my clients and that they are paying for a service that I provide. I wouldn't dream of not providing that service to the best of my ability just because the payment (not 'payment') was made in advance. I mean, WTF??

This is theft in my eyes, only the timeframe (which is incalculated in the voucher) makes it any different to me handing over money, and the service provider going "hehe, thanks ever so much, more fool you - you can go away now". It should be illegal not to even try to fulfil one's obligations to a client like this.

But as I said, a lesson learned. Vouchers are a no go for me from now on. Fool me once...

Sleeper12

geekychick wrote:

This is theft in my eyes, only the timeframe (which is incalculated in the voucher) makes it any different to me handing over money, and the service provider going "hehe, thanks ever so much, more fool you - you can go away now". It should be illegal not to even try to fulfil one's obligations to a client like this.

In fairness you have even phoned her to see if she will give you 100 worth of treatment in your home

coylemj

geekychick wrote: »

This is theft in my eyes, only the timeframe (which is incalculated in the voucher) makes it any different to me handing over money, and the service provider going "hehe, thanks ever so much, more fool you - you can go away now". It should be illegal not to even try to fulfil one's obligations to a client like this.

But as I said, a lesson learned. Vouchers are a no go for me from now on. Fool me once...

+1 sadly there have been lots of instances of businesses taking cash as deposits on furniture/cars/services, going bust the next day and the receiver gets no satisfactory answer when the principals are asked where the money went - it was typically not lodged in the bank and not paid to employees in lieu of wages owed.

I think poster Ceilingfly has contributed the most valuable advice in this thread..... never pay for vouchers with cash.