Many large events such as weddings, birthdays, family reunions, and parties can be cancelled unexpectedly resulting in loosing large amounts of money due to contract obligations. Many instances occur in which deposits or even full payments were placed for a photographer, flowers, or entertainment without the possibility of a refund and then the event is cancelled. There is no way to prevent the cancellation, but you can greatly reduce the amount of money lost by negotiating a payment schedule and/or placing a minimum deposit. Payment schedules should then be made with a minimum payment until the last possible moment in which the balance is to be paid in full. Would you rather loose a $150 down payment or the entire cost of $500 for the reservation? The answer is obvious; therefore pay as little as you are allowed!

     Make payments using a credit card or a personal check. You may be able to utilize the credit card services to get your money back since the service paid has not and will not be used. Verify if a personal check has cleared your account. If the check has not cleared, then pay the fee for the check cancellation. The expense of a $15 check cancellation fee is less than loosing a $100 deposit. Use the method only as a last resort if the money will not be refunded. Attempt to speak to the manager first, asking nicely for the money to be returned (particularly if the event is many weeks or months away).

     Also, depending on the services, you may be able to use the deposit for a different purpose in the future. A deposit for flowers intended for use at a wedding that has been cancelled can be transferred for use at a future date by establishing credit with the company (assuming the florist has not already spent money on the wedding). The same can also apply for a deposit with a company who was intended to make the wedding cake and who also happens to provide catering. Even though the cake deposit may no longer be needed, and the company will not refund the deposit, you can ask for the deposit to be utilized as credit for use in the future to cater a party. Companies do not have a desire to return money they have already received, particularly for a specific purpose as stated in a contract. Yet the companies will most likely alter the purpose on the contract as long as enough advance notice is given and the company has not accrued any expenses for the intended purpose.


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