Company gone into administration

Please can the community help. I purchased a year-long subscription for a toy rental service and the day after they went into administration. I opened a case with Monzo (in May) and they said this would be resolved by September. Leaving me out of pocket and totally in the dark as to whether this will be resolved. In comparison, my sister paid for the same subscription using Amex and they issued an immediate refund. By September there will be nothing left from the recievers. Please help


Was it Whirli, by any chance?

I found this.

In any case, I don’t think there is anything you can do to jog Monzo along. They will attempt to recover the money through the MasterCard network and will refund you if and when it turns up. You could also try contacting the administrators of the company for any further advice.

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One of the differences with your sister paying by AmEx is that it’s a credit card, and has different protections (namely S75).

Additionally, AmEx are the card network as well as the card issuer, so that means there is less parties to deal with. Monzo has to submit a case to MasterCard for example.


I know this is distressing, but it’s not as bad as it sounds. I’ll try to simplify this, because chargebacks are a minefield.

Essentially, when you made the complaint to Monzo, very soon after, Monzo raise this as a “chargeback” to Mastercard, and immediately receive the money back. Mastercard then claims that back from the merchant’s bank.

What happens next takes time - which is where the “September” quote came from. Basically, the merchant gets two hits as justifying the charge and tries to get the money back from Monzo. If they’ve gone bust, it’s unlikely they would succeed (and Monzo would only make a chargeback if they thought they would be successful in the first place).

So, no need to worry that “there won’t be any money left by September”. Monzo already have it, or probably will do very soon.

Many other banks (Amex and others) give the customer that money back straight away, on the proviso that the merchant could take it back (if their justification turns out to be successful). Monzo operate in a different way.

With Monzo, you need to wait until the merchant has exhausted all their attempts to get the money back, and Monzo can be 100% sure that you’ll get to keep the chargeback.

Tldr: you should be fine. Business go bust all the time - this is one of the main things chargeback exists to deal with.

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