July 2008
Protect yourself from shaky retailers
“If you placed your order prior to Dec. 4, 2007, and have not received your delivery as of Dec. 31, 2007, you will not be
receiving your merchandise.”
That’s one of the grim statements we found on the Web site of Levitz, a bankrupt furniture retailer. Some customers also learned that they weren’t getting the extended warranty they had paid for and that the store wasn’t making good on many of its gift cards and merchandise certificates.
Hard economic times have taken a toll on furniture retailers; other recent victims include Domain and The Bombay Company. One of the best ways to protect yourself from such losses is to pay by credit card, especially if you’re placing an order that could take weeks to fill. If the retailer or manufacturer abruptly goes out of business, you can challenge the purchase with your card issuer. If you pay by debit card, cash, or check, your only recourse may be filing a claim in bankruptcy court, where you’ll probably get pennies on the dollar, if anything.
That’s one of the grim statements we found on the Web site of Levitz, a bankrupt furniture retailer. Some customers also learned that they weren’t getting the extended warranty they had paid for and that the store wasn’t making good on many of its gift cards and merchandise certificates.
Hard economic times have taken a toll on furniture retailers; other recent victims include Domain and The Bombay Company. One of the best ways to protect yourself from such losses is to pay by credit card, especially if you’re placing an order that could take weeks to fill. If the retailer or manufacturer abruptly goes out of business, you can challenge the purchase with your card issuer. If you pay by debit card, cash, or check, your only recourse may be filing a claim in bankruptcy court, where you’ll probably get pennies on the dollar, if anything.
