1. Since you didn't get credit in the first place, you don't have to worry about DFS lowering your rating - you've got nothing to lose on that end as long as you don't apply for credit over next 3 months.

2. Shopping doesn't have to be like war....but if you're opting for credit, with the increasing number of traps and ways of cheating customers by which these companies make millions, might be well worth it to go on a war footing - do your research about how a store deals with its customers - exceptional quality of service throughout or a grand welcome till you buy and then a big bye no matter what issues you face. And try to get everything in writing without relying on verbal plain-speak

3. As for your exceptionally smart salesman from DFS, hire a no win no fee lawyer and take them to court. You stand a better than great chance you'll win as long as you have the evidence in writing for everything he said - that you need to buy though your credit application was rejected.If you don't have any evidence, get it.

My "previously perfect" credit rating was reduced by DFS some 7 years ago

I was slightly late with a monthly payment on their "so called" year - free - then - interest - free - credit agreement (which is NOT - We had to pay insurance to get interest free credit)

They hounded me from day one - and this (without my knowledge at the time) lowered my rating

I WOULD NOT GO NEAR THESE SHYSTERS AGAIN

Salesmen are just for that purpose - force a deal through to get their commission no matter what. The issue here is that the DFS salesman is trying to swindle you by leveraging on your lack of knowledge about your own rights as a consumer.

If you were to walk into a car showroom let's say Arnold Clark and you agree to buy a car costing 18,000 pounds, sign credit application and all the numerous forms. At that point, the car is still NOT yours and you can't take it home(same as for your sofa) and the guy will say it'll be ready in a week's time(approx). The next morning the car salesman calls you up and says your application didn't go through. Let's say you have only 300 pounds in hand to spend, nothing in the bank. Does that mean you are obliged to pay 18,000 pounds for a BMW you chose to buy? Or does it force you to bring a relative of yours and get them into debt? The answer is a simple NO. If you don't get credit, you can't buy it and you just walk away no matter what any tom dick and harry salesman says. If he's already ordered it, he can cancel it or stock it that's his headache(if not the trick of the trade to tell you that).

Since you didn't get credit, just take a note of that company name to which you applied for credit and tell them that as your application was refused on so and so date(or rather first confirm if it was refused indeed), you're NOT buying any products and any claims made for credit by DFS relating to the application you made on xyz date should be treated as null and void.

Secondly, irrespective of whether you got that company details or not, don't honor the salesman's demands. It's not just you...we all can see how stupid this is : forcing a customer to pay up or get relatives into debt when your application for credit was clearly refused. So just don't give in to their tall tales unless you wish to fund the salesman's christmas prezzies! If he calls, tell him "as the credit was refused, I can't buy it and a NO means NO - there are no other options from my end no matter what you suggest" and don't pay any deposits or sign further documentation either.It's a closed chapter.

And thanks for informing us all about it.

Hi Conmankiller,

My partner has spoken to DFS again this PM and their salesman is still insiting that it is a binding contract, even though the finance did apparently not go through !

I thought they had done a credit check etc while we were waiting and everything was fine, as he completed everything then disappeared for 10 mins and then came back with the credit agreement/DD mandate and insurance forms for us to sign !!

Still waiting for consumer direct to get back to me !!

Evo

Hi Huckster,

Thanks for that, am waiting for a call back from consumerdirect !!

Evo

huckster is correct, wherevever a finance deal collapses for any reason... or where any party withdraws before the agreement is accepted and concluded, then the whole sale falls through, without penalty or further obligation on any of the parties involved.

Remind DFS of the fact that since credit has been declined, you have no further legal obligation to proceed with the intended purchase that was subject to a (three party) finance agreement

Remember credit is not guaranteed or a right of any individual, it is always subject to approval and acceptance. !

Evo4UK:

My understanding is that if the purchase was subject to finance, which has now been rejected, the whole order/agreement is cancelled. DFS cannot enforce.

I would suggest that you call consumer direct and they will give you details of the legislation that applies. http://www.consumerdirect.gov.uk/

Huckster

Hi All

New here but any advice would be gratefully received,

We went to DFS last Wednesday, found 2 sofas we liked, sat down with the salesman and completed a credit application etc signed the credit agreement and went home and were happily waiting for our sofas to be delivered, that was until today, when my partner received a call from DFS saying there was a problem with the finance, he offered us two alternatives, either have a family member or friend fill in a new application that we would pay, or to pay a deposit and the outstanding balance when the sofa are delivered, we have just checked and as far a we can see, we have a signed credit agreement with DFS, and having the sofas on finance was the only way we could afford them.

The salesman has already ordered the sofas and has indicated to my partner that we are still liable to pay for them even though he now say's the finance is not possible, does anyone have any idea where we stand ?

Many thanks in advance for any help.

Evo