Safeguarding customer deposits when a firm goes bust.

When a firm goes under and custoimer who has paid a deposit for good that will now never be delivered will be ranked as a creditor and in all likelyhood lose all of their deposit.

If you pay bt credit card subject to certain rules then then you will usually be re-imbursed by the Credit card issuer. It is important to note that this protection does not apply to Debit Cards. 

The problem is being highlighted with prominet suppliers going under as the recession continues to effect retaiers.

The advice must be pay any deposit with a credit card NOT debit card, cash or cheque.