Today, consumers were informed that Phones 4U will not return them any money put for the newest iPhone.
Last week one of the biggest mobile phones retailers, Phones4U informed about its bankruptcy. This led to worries about the future of their employees and Phones4U customers. The staff was shocked and devastated by the news. As a result 1,700 jobs were axed and over 350 stores are to be closed. It could have been worse by some telecoms companies stepped in and acquired came in to help and purchased some of the shops and saved some jobs. EE, Vodafone and Dixons Carphone took control of over 400 stores and retained a bit over 2,000 staff.
Even though the company is under administration, their representatives assured customers that any money put up for the newest Apple phone will be returned. This position has just dramatically changed as the administrators, PricewaterhouseCoopers, informed past customers that they should not wait for their deposits to be refunded. Basically, it means there is no money left to be redistributed to creditors. PwC suggested customers who paid the deposits via credit card to try to get back the money through the card issuer; however, all claims will be ranked as an unsecured claim, which in reality means customers have little or no chance of seeing their money. The same goes for customers who were looking forward to cashback or free gifts – all these agreements are cancelled.
It is yet unknown what kind of money Phones4U collected from their customers as a deposit for iPhone 6.