How to Recoup Money from a Fradulent Business

They got your money, but you didn't get the service or product you were expecting. Don't just write it off; take steps to get your money back.

Things You'll Need

• Address of company and parent corporation
• Contact information for your credit card or payment service
• Internet access
• Better Business Bureau listings

Instructions

How to Recoup Money from a Fradulent Business

1. Contact the company directly. If you telephone them, ask to speak to the highest-level manager or the owner. Leave messages that specify your complaint. Ask for the mailing address, and always follow a phone call with a registered letter that gives the same details and asks for the same compensation. If the company is a franchise, copy everything to the parent company. Stay polite. Leave good contact information, so that someone can mail, email or call you back.

2. Contact your credit card company (or PayPal, if you used that payment service) and let them know you will be disputing the charge. Some payment services will intervene on your behalf and try to contact the vendor for you, but they will expect you to attempt to contact the company yourself first.

3. Research the company online. Type the company's name and the word "complaint" or "fraud" into a search engine, to see if others have complained and if they were successful in getting refunds. Search under the owner's name. Search under the phone number. Don't be ashamed if you find you're in a large group of angry customers (but next time, remember to do the research BEFORE you hand over your money).

4. Find the information of the Better Business Bureau in the city where the company is based and search for complaints; you can usually do this online. File your own complaint with them, either online or by mail. The BBB will sometimes contact the company on your behalf and convey your refund request.

5. Whatever the resolution is, tie up loose ends. Write to the company and thank them (if they were cooperative). Let your credit card company and the BBB know if you've received a refund (or not). If you get no satisfaction, consider posting your story at one of the many internet complaint forums, to warn others.

Tips & Warnings

• Know exactly what will satisfy you: a full refund, a partial refund or (sometimes hardest to get) an apology.

• If you're offered less than you ask for, don't settle too quickly. Restate what you think you deserve and why.

• Document every call and letter; if the dispute escalates, you'll be glad you have this information.

• If nothing else works, and the amount you've lost is greater than the cost of filing a claim, consider small claims court.

• Never pay a stranger or an unknown company with cash or via Western Union; it's impossible to recoup.

• Never use threats, no matter how angry you are. Threats of violence can get you arrested; threats of legal action will be laughed off, because customers who take legal action don't warn the company first.