Purchase Protection

#1
I'm a casualty from the collapse of RF but I still plan to build a GT40. However I'm now extremely nervous of parting with any funds for another kit without adequate purchase protection in place. I'm looking at an overseas purchase from the UK and the options would seem to be a) Pay by credit card with a premium of around 3% (a case in March this year indicates that UK based credit card companies must extend their purchase protection terms world-wide) b) Put funds into an ESCROW account c) Buy payment protection insurance cover d) Use PayPal (although this seems limited to £500 and supply within 20 days).

My potential supplier has indicated that he could not accept ESCROW which therefore means that protection is even more vital. My choice seems to lie in finding the cheapest reputable cover for option a) credit card or c) payment protection insurance.

I'd appreciate any advice or information from members.
 

Ian Anderson

Lifetime Premier Supporter
#2
Roger

I would go with the credit card. But also advise to do your homework first and check stability of your company with Dun and Bradstreet type reports - no security but more comfort facor.

The 3% on the credit card could be offset at the moment as the USD is taking a slide against the GBP and the GBP will buy you more at present

About 1.76 last week to 1.81 his week

Regards
Ian
 

New Member
#3
Roger,

CC's will protect you from fraud, not from companies going BK. Keep this in mind.

I would look to another solution. What that is, I have no idea but I would start with why they won't accept escrow. That should lead to some detailed discussions about what they want to do with your money and then that can be tracked.

Ben
 

Ian Anderson

Lifetime Premier Supporter
#4
I have a feeling that there is something in the credit card UK requirements that will lock the credit card company into the transaction EVEN if the deposit only is paid by credit card. (The deposit has to be more than (I believe) £100)

Take this to the extreme

Get the comapny to agree a contract as
$300 with order - non refundable deposit
$10000 when production starts
Remainder on completion

So the credit card fees will be on $300 not the whole transaction amount.

But the credit card company is locked into the contract the same as a company providing Hire Purchace! This includes that the product is good for the purpose and that refunds will be made for non delivery.

As I say I recall reading this somewhere but cannot vouch for the correctness of it. - I'll try and turn up the facts later - lots of reading again

Ian
 
#5
Roger

If you are worried about your deposit please read the last post on the next thread down ' Great Service from Tornado'
That should give any potential purchaser as much confidence as they need to place an order.
Because our company is based on a rock solid financial footing We do not rely on the deposits to build cars. Deposits are our insurance policy to protect us against the customer messing us about and not vice versa.
We have been building 40's for 17 years now and not a single customer has lost a deposit.
Perhaps you are looking at the wrong supplier!!!!!!!!!

Thanks

Andy
 
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