Since July 2022, pre-paid funeral providers have required approval to operate from the Financial Conduct Authority (FCA).
Safe Hands was one of dozens of companies operating in the previously unregulated sector, and collapsed four months before the measures came in.
In 2017, Sandie and David Beatty, from Bingham in Nottinghamshire, paid Safe Hands £3,395 to cover the funeral costs for the first of them to die.
Mrs Beatty, 73, said they felt “angry, disappointed, sick” when the firm collapsed.
“Compared to what we put in, what we’ll get back is a tiny amount,” she said.
“When we get it, it might be enough to buy a pizza, and we’ll have a little party.
“For us, it’s not about the money now. We just want someone to be held to account.
“Our money went somewhere.”
Mr Beatty, 80, said: “There’s nothing we can do about it. We want justice but realistically we won’t get our money back.
“People have been taken for a ride and that stings.”
