When Phones 4u went into administration a couple of weeks ago, the first question on many people’s lips was: “What about my iPhone 6?” The retailer promised all pre-orders would be refunded in due course, so everything’s hunky dory, right? Er…
Fast-forward a bunch of days and the retailer has pulled a u-turn, saying that it’s not in a position to refund iPhone 6 pre-orders after all. None of them. Not a penny.
The news was delivered via email, with the additional insult of including everyone’s contact details in the ‘To’ field. Oh dear.
The message begins: “Further to the cancellation of your order with Phones 4u for an iPhone 6, we understand you may have incurred charges on your credit card prior to the appointment of the Administrators.
“Unfortunately due to the situation, the Administrators cannot process a refund.”
Customers are ultimately told to contact their respective credit card providers to start the chargeback process, but in the event that they’re not covered, the only alternative is the submission of an “unsecured claim” to the Administrator, which means - in a nutshell - you join a long list of people fighting for scraps.
Check out the associated disclaimer: "Please note, given the level of secured liabilities, if there is any dividend to unsecured creditors, any payment if made at all, would not be for many months and is likely to be negligible."
Needless to say, customers are up in arms about the lack of a direct refund, the sharing of contact details (some customers subsequently hit ‘Reply All’ – check it out on Business Insider), and the fact that Phones 4u made the refund promise while under administration, so presumably with the backing of the administrator. But nope.
All in all, a pretty horrible situation. Some are pointing the finger at EE and Vodafone, since the networks pulled the plug on their Phones 4u support, only to turn round and buy some of the stores and – in doing so – “save” hundreds of jobs. Murderers to the rescue, yeah!
Hopefully no one here is affected, but drop us a comment below if so.