I/we use Booking.Com for all our trips. Both UK & Europe.
I am registered with Booking.Com & they have my credit card details. It normally states, at the time of booking, when the payment is due & up to what date you can cancel.
Very few places take any payment at the time of booking, just a few will take the payment around 7 days prior to arrival, but the vast majority take it on arrival.
I know that if I get any early contact asking for payment on a booking it won't be legit.
Brocket, I hope Steve gets his money back. If he paid by credit card he should, I also believe that now debit cards are treated similar, not 100% sure on that though.