Missguided refuses jilted customers refunds after going into administration, owing millions

Shoppers of a collapsed retailer have complained of ignored refunds, with the brand telling people with missed orders to assume they were “lost in the post”.

Customers of UK fast fashion retailer, Missguided have shared complaints of unfulfilled orders and outstanding refunds in the wake of the brand’s collapse.

This week, it was announced the fashion giant – which is stocked in Australia through The Iconic and Myer – failed to secure a rescue bid from a last-minute buyer.

Despite going into administration, the brand has now been bought by British retail billionaire Mike Ashley, who is the chief executive of Frasers Group Plc.

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After failing to acquire a last-minute buyer, UK fast fashion brand temporarily went into administration. Picture: Missguided.

However, on Twitter, customers have complained about ignored refund requests. One shopper was “disgusted” the brand was still taking orders from customers, despite going into administration on May 13.

Sharing what appears to be an automated response from the brand’s social media teams, the message repeatedly stated that customers would not receive a refund for their lost orders. It also said that customers who don’t receive their orders by the indicated dispatch date would have their orders marked as “lost in the post”.

“If items have been ordered, paid for and dispatched prior to the Administration, they should be delivered (i.e. items marked as dispatched before 13.11 on 30 May 2020). Returns and refunds will not be accepted for these items.

“If you have not received you order by the indicated dispatch date these are assumed to be ‘lost in the post’.

“You can make a claim in the Administration as an unsecured creditor of the Company. You will not receive a refund for your goods.”

Went into administration on the 13th May but still continued to take customers orders and money 14 days after this date. Disgusting! @Missguidedpic.twitter.com/Jtp63Rwe0C

— Georgina (@GinaPrichardd) June 1, 2022

Jilted customers shared similar experiences to the BBC.

UK woman Beth Harvey said she had failed to receive refunds she had lodged in April and didn’t even receive an order she had placed in May.

In the days before Missguided’s public collapse, Ms Harvey placed an order worth nearly £100 ($A174), which also failed to arrive. However, when she attempted to contact the brand, Missguided representatives told her the delays were due to IT issues. Eventually she was able to source a refund from the buy-now-pay-later platform Klarna.

“It’s disgusting how they’ve left so many women in the dark,” she said.

Anyone else having major issues with @Missguided@Missguided_help at the moment? Refunds taking weeks, next day delivery’s not coming next day? What’s going on?????

— Bethany 👑 (@Bettttyjo) May 28, 2022

As it stands, shoppers trying to access the site are now greeted with a ‘failed’ web page, and a message which states that: “This site can’t be reached”. At the time of publishing, their Twitter and Instagram channels were still active and contained no mention of the brand’s collapse.

UK MP for Leicester East (in East England), Claudia Webbe also publicly lashed the company for their “despicable behaviour”.

According to The Guardian, their suppliers are owed millions, with around 140 jobs also at risk. One factory owner said he was missing more than $A3.48 million and had not been paid since April.

As a result he had to stand down his 90-plus workforce and faced administration fears.

“They failed to pay suppliers for orders whilst continuing to trade and rip-off customers,” she tweeted.

“Garment factories have closed and workers have been laid-off without pay or notice.”

I have written to the Chancellor, about the despicable behaviour of online fast fashion brand Missguided.

They failed to pay suppliers for orders whilst continuing to trade and rip-off customers.

Garment factories have closed and workers have been laid-off without pay or notice pic.twitter.com/9rphCiLu1I

— Claudia Webbe MP (@ClaudiaWebbe) June 1, 2022

Sharing her letter to the Chancellor of the Exchequer, Rishi Sunak (a role that’s comparable to the Treasurer in Australian politics), she said the collapse was a “crisis of management”, with unpaid suppliers dating back to before January.

Founded in 2009, Missguided made a staggering £4.7 million pounds ($A8.1 million) in 2015.

The brand then recorded an after tax loss of £46.7 million ($A81.3 million) for the 2017/2018 financial year, The Sun reports.

Originally published as Missguided refuses jilted customers refunds after going into administration, owing millions