TLDR
- Most major interior companies collect ₹50K–₹1.5L upfront — usually non-refundable
- Under Consumer Protection Act 2019, you CAN get refunds if services aren't delivered
- Consumer courts have ordered refunds (Bonito: ₹2.2L, Jan 2025)
- Protect yourself: milestone payments, written scope, cancellation clause BEFORE signing
You walk into a Livspace experience centre. The designs look stunning. The sales executive is charming. Before you leave, they ask for a "booking amount" — ₹50,000 to ₹1.5 lakh — to "lock in your designer" or "start the design process."
You pay. Then things go sideways. Design doesn't match expectations. Timelines slip. Communication breaks down. You want out.
Their response: "Sorry, the deposit is non-refundable as per our terms."
Sound familiar? You're not alone.
Deposit Policies: What Each Company Charges
Based on publicly available information as of August 2026. Deposit policies may change — verify directly with each company before making decisions from company websites, customer reviews, and consumer forum complaints:
| Company | Initial Deposit | Refundable? | Notes |
|---|---|---|---|
| Livspace | ~10% of project value | Non-refundable | Called "design booking fee"; deducted from final bill |
| HomeLane | Booking amount (₹25K–₹75K) | Non-refundable | Required to assign a designer |
| DesignCafe | ~10% token | Non-refundable | Now merged with HomeLane; similar policy |
| Bonito Designs | Advance payment | Non-refundable | Consumer court ordered ₹2.2L refund (2025) |
Your Legal Rights Under Consumer Protection Act 2019
The Consumer Protection Act 2019 protects you against unfair trade practices. Here's what matters:
What the law says
- Section 2(46): "Unfair contract" includes terms that require excessive security deposits or impose unreasonable penalties on cancellation
- Section 47: Consumer can file complaint if services are deficient or not delivered as promised
- Section 49: Contracts with one-sided terms that are manifestly unfair can be declared void
How to file a consumer complaint
- Online: File on e-Daakhil portal (National Consumer Disputes Redressal Commission)
- Jurisdiction: District Forum for claims up to ₹1 crore
- Documents needed: Payment receipts, contract copy, WhatsApp/email communication, photos of deficient work
- Fees: Nominal (₹200–₹500 depending on claim amount)
Timeline
Consumer courts are mandated to resolve within 3–5 months for straightforward cases. Complex cases may take 8–12 months. Still faster and cheaper than civil courts.
Real Case: Bonito Designs Ordered to Refund ₹2.2 Lakh
Consumer Court Verdict — January 2025
A Bangalore homeowner filed a complaint against Bonito Designs after paying an advance and receiving substandard work with repeated delays. The consumer court ordered Bonito to refund ₹2.2 lakh plus compensation.
Source: Times of India, January 2025 (based on publicly available reporting)
This case established a clear precedent: "non-refundable" policies don't hold up when the company fails to deliver promised services.
The homeowner's winning arguments:
- Documented communication showing missed timelines
- Photos proving substandard workmanship
- Written contract with specific deliverables that weren't met
How to Protect Yourself BEFORE Signing
Prevention is better than consumer court. Before paying any deposit:
1. Insist on milestone-based payments
Never pay more than 10% upfront. Structure payments against deliverables: 10% on signing → 30% on design approval → 30% on material delivery → 20% on installation → 10% on final inspection.
2. Get a written scope document
Demand a detailed BOQ (Bill of Quantities) listing every item, material specification, and cost. Vague scope = vague accountability.
3. Add a cancellation clause
Before signing, negotiate: "If I cancel within 7 days of signing, 100% refund. If I cancel after design phase, deposit minus actual design hours (at ₹X/hour) is refunded." Get it in writing.
4. Pay via credit card
Credit card payments offer chargeback protection. If the company doesn't deliver, you can dispute the charge with your bank within 120 days.
5. Document everything
Save every WhatsApp message, email, and photo. Written evidence wins consumer court cases.
The Bottom Line
"Non-refundable" is a company policy, not a legal absolute. If services aren't delivered, Indian law protects you. But prevention beats litigation — negotiate milestone payments and cancellation terms BEFORE you sign. Don't let urgency pressure you into paying large sums upfront.
Paid a deposit and stuck with a bad interior company?
Get a Free Consultation — We'll Review Your Options →Frequently Asked Questions
Can I get my Livspace deposit back?
If Livspace has not delivered the services promised in your contract, yes — you have legal grounds for a refund under the Consumer Protection Act 2019. First, send a formal written complaint (email + registered post). If they refuse, file on e-Daakhil. Document everything: delayed timelines, design mismatches, unresponsive PMs.
How long does consumer court take?
District Consumer Forums are mandated to resolve cases within 3–5 months. In practice, straightforward refund cases with clear documentation can be resolved in 4–6 months. You don't need a lawyer — you can represent yourself.
Should I pay via credit card for chargeback protection?
Yes, when possible. Credit cards offer dispute/chargeback mechanisms if services aren't delivered. The window is typically 120 days from transaction. UPI and bank transfers have no such protection. If you must pay via transfer, ensure you have ironclad written agreements.
Independent editorial content based on publicly available information from consumer forums, court records, and published news reports. The Home Consult is not affiliated with any company mentioned. Sources: Times of India (Jan 2025), Consumer Protection Act 2019, e-Daakhil portal, Google Reviews, Quora (2024-2026).
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