Credit Card Refund for Deposit Paid to Car Dealer.

[walter d.]

I recently paid a garage a deposit by credit card on a car, when the car was delivered I paid the balance due by cheque but immediately found that the car it was unfit for purpose and so cancelled the purchase cheque and had the car transported back to the dealer and requested my deposit be returned, it wasn't and I was unable to contact the dealer whom I've discovered has gone bust. I tried to claim back the deposit from the credit card company but they say they cannot help as under Visa regulation they cannot claim for breach of contract.
I always understood that the purpose of using a credit card was precisely in case such a sequence of events should happen and that if all efforts failed to get a deposit returned then the credit card company repaid the deposit, does anyone else have any experience of this?