Napier South grandmother Rochelle Spence says she has probably lost her $24,000 deposit following last week's voluntary liquidation of Mercy Renovators.
She signed a contract for $48,000 to reposition her kitchen and put a bedroom in its place, with work due to begin in September. A 50 per cent deposit was required up front, which in hindsight was "far too much", but she had no qualms following a successful $20,000 bathroom renovation.
With work due to start she phoned the company after hearing rumours it was in financial trouble.
"They said everything is okay - that they have had a few problems - but that things were okay," she said.
On Friday the liquidator phoned her. "They said, as an unsecured creditor, things probably didn't look too good for me getting my money back. I'm guessing it will be the IRD, the bank and secured creditors that will come before me."