Topshop, Miss Selfridge, Dorothy Perkins, Burton shopper or gift card holder

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Topshop, Miss Selfridge, Dorothy Perkins, Burton shopper or gift card holder

Post by AAAlphaThunder » Wed Jun 12, 2019 6:31 am

Naomi Schraer, News Reporter

11 June 2019

The parent company of Topshop, Miss Selfridge, Dorothy Perkins and Burton is reported to be struggling, if you shop with it here's how to play it safe with gift cards and online orders.

The Arcadia Group is currently involved in restructuring talks, with its creditors expected to vote on a Company Voluntary Arrangement (CVA) - a type of insolvency agreement - tomorrow.

If 75% of these creditors vote in favour of the CVA, the group will implement a turnaround strategy with extra funding. If this happens, Arcadia says gift cards and returns will continue being accepted as usual, and shoppers shouldn't see any impact.

But if the CVA fails, the group's future will be reassessed - and one potential outcome could be for it to go into administration. If this happens, policies around gift cards and returns will become much more uncertain.

Of course, we don't have a crystal ball when it comes to the future, but the tips below will help you protect yourself if you have a gift card, are ordering online or making returns for any store, if the worst were to happen.

Martin: 'Personally, I’d be spending my gift cards soon for safety''
Martin Lewis, founder of MoneySavingExpert.com, said: "The problem with insolvency is that once a company is insolvent it has to announce it straight away. So it happens very quickly.

"Clearly, as it's seeking a form of corporate rescue, the Arcadia Group is not in the most stable state at the moment. So personally, until we get firm news that all is going to be fine, if I had a gift card for Topshop, Burtons, Dorthy Perkins or the rest, I’d use it asap, as in some of the possible eventualities they may become worthless, and clearly I’d avoid buying any gift vouchers from there in the future (although that doesn’t mean much as I would always suggesting avoiding gift cards and vouchers anywhere anyway).

"I'd also be very careful if I was ordering something now for delivery a decent amount of time in the future, and buying any items that might break because returns can be difficult too if a firm goes into administration."

What are the rules around gift cards?
Arcadia Group's brands - which are Burton, Dorothy Perkins, Evans, Miss Selfridge, Outfit, Topman, Topshop and Wallis - offer gift cards.

We've long said we're not fans of gift cards because you've got no protection if the company it's for goes into administration. Administrators can decide to stop accepting gift cards in this situation, meaning they could become worthless.

In this case, your gift card will be counted as part of the debts owed by a company, so you'll be one of the firm's creditors - and as unsecured creditors are at the back of the queue when it comes to payouts, it's very unlikely you'd get your cash back in full.

This lack of protection means if you have a gift card, for any store, you should always spend it as soon as possible.

See our Administration Help guide for full info on reclaiming cash from companies when things go wrong.

How can I protect myself when making online orders?
If you make a purchase from an Arcadia Group store, or indeed any store, you may want to use a debit card, or a credit card if the purchase costs over £100, to give you extra peace of mind.
This will give you some extra protection if things were to go wrong as you'll be able to make a claim through Section 75 for credit cards purchases costing more than £100, because your credit card provider is equally liable.

For debit card purchases, or those costing less than £100 on a credit card, you can try the chargeback scheme – though in this situation, a refund's not guaranteed as chargeback is a customer service promise rather than a legal obligation.

See our Section 75 and Chargeback guides for more information.

What about returning orders?
In the past, we've seen issues with returns and refunds being processed when stores go into administration.

And while Arcadia Group stores are trading as normal at the moment, it's always worth returning items as soon as possible.
Source: MSE
https://www.moneysavingexpert.com/news/ ... ft-card--/
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Re: Topshop, Miss Selfridge, Dorothy Perkins, Burton shopper or gift card holder

Post by blythburgh » Wed Jun 12, 2019 9:47 am

thanks, does not affect me but I am sure there are many with gift cards or items they bought which need returning for one reason or another
Keep smiling because the light at the end of someone's tunnel may be you, Ron Cheneler

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