Credit card companies retrieve disputed funds from merchants. If the merchant is under bankruptcy, I would guess the assets are inaccessible.

> Credit card companies retrieve disputed funds from merchants. If the merchant is under bankruptcy, I would guess the assets are inaccessible.

The cardholder still gets their money back. In bankruptcy situations, the entity that generally ends up eating the loss is one who processes the payments, not the merchant who sold them.

What could you dispute? You authorized the charges and received what you paid for (classes).

That said, training (unless it's useful outside the job) must be paid for by the employer. For example a pool can require CPR training for their lifeguards because you can use that outside being a lifeguard, but Starbucks can't require you to pay for their class because knowing how to make a starbucks drink is too specific.

He didn't receive the classes he paid for, and yes, he can and should charge it back on that basis. You generally have 180 days to charge it back, so as long as the charge was within this time frame, his bank should reimburse him. They'll try to suck the money out of TechShop's bank account, and if the money isn't in their account, their merchant provider will become another creditor in the bankruptcy proceeding for the total amount of chargebacks.

> I was suckered into pre-paying for $500 worth of classes that I'll never be reimbursed for.

"pre-paying". He paid in advance, and the classes will now not be going ahead.

He didn't receive what he paid for. The institution could have even accepted the money knowing they would not be rendering the service.