PHOENIX -- If you make a big purchase, credit cards give you protection because if something goes wrong you stand a good chance of having the transaction reversed. But when you pay cash or write a check, you have no protection at all.
Amy and Steve Sorenson enjoy spending their free time in a little area just outside of Flagstaff.
“Originally we had the cabins for our family, for our friends and family to come up and then friends were saying, 'Can we stay for the weekend?'” Amy said.
That gave Amy and Steve an idea to build cabins and then rent them out.
“We are building our third cabin, we're going to name it Bearly A Cabin,” Amy told 3 On Your Side.
This cabin is their largest one yet, with a lot of upgrades including ideas for a beautiful wood floor.
“Hardwood floors is one of the items that we're going to be installing ourselves. So that's a lot of the sweat equity that we're putting into it,” Amy explained.
So back in February, they came all the way down to the Valley and visited a business called Old World Floors in North Phoenix. Here they found the perfect flooring, so they bought it by giving Old World Floors a down payment.
“We put a deposit down because we figured we didn't need it until now and in order for them to store it they needed to have money down so we put close to $2,700 down,” Amy said.
She said they eventually put the rest on their credit cards for a grand total of almost $7,000. However, when it came time to pick up the flooring, they say Adam Galor, the owner of Old World Floors, told them it was stuck at a distributorship. All because Old World reportedly owed the distributorship money and they wouldn't release the flooring until it was paid. Amy and Steve said they can't believe it.
“It's just a catch-up game, using other people's money to pay the distributorship for a product that I already paid for,” Amy said.
I went to Old World Floors to check it out but found that the doors were locked and the business was pretty empty inside. However, Galor called me back and said that due to a family and business problems, he was forced to shut down Old World Floors.
As for Amy and Steve's floor they paid for, the couple got all of their money back after disputing the transaction with their credit card companies.
However, not having their flooring puts them behind schedule.
“If we don't have that floor, it's really going to start impacting our ability to finish this off and if we can't finish the cabin, we can't start renting it, we can't do anything with it,” Steve explained.
Again, if Steve and Amy would have paid cash or written a check or even put it on their debit card, they may not have gotten their money back. That's one of the benefits of using credit cards.