Tag Archives | refunds

Proposed 30 Day Refund Period is good for consumers – New Consumer Protection Legislation (3 of 5)

Department of Jobs, Enterprise and Innovation makes positive suggestion about automatic 30 day refund periodI wrote here last time (Consumer Protection Legislation – gift voucher proposals not worth the effort) out about my initial thoughts on the proposed consumer rights legislation put forward by Minister for Jobs, Enterprise and Innovation, Mr. Richard Bruton, TD in May 2015. As I said in that article, I’m not 100% convinced that the gift voucher proposals have any worthwhile merit apart from their headline grabbing capacity. These headlines are from around the time of the original announcement back then:

The proposals do, however, contain some other positive and far-reaching changes that would impact on the day-to-day purchasing activities of Irish consumers, yet it’s only the voucher changes that generate the column inches.

30 Day Refund Period

This proposal will provide for a a standard 30 day period in which consumers can return faulty goods and get a full refund or replacement – their own choice.

The current hazy legislation, an amalgam of different acts going as far back as 1893, provides for a remedy for consumers where products are not of “merchantable quality”. The remedy from the retailer can be a choice of “refund, repair, replace”, but the chosen remedy is left to the retailer to decide, rather than the consumer.

It is claimed further that if enacted, these proposals would more clearly define for all concerned what the expected standard of “satisfactory quality” purchased goods would have to meet. Apparently, the Supreme Court has described the standard of “merchantable quality” as “archaic and somewhat mysterious” – something that most consumers who have tried to return faulty goods will confirm.

The definition, however, of a standard 30 day period after purchase within which consumers would have the right to themselves choose their own remedy having purchased goods that turn out to be faulty, or not of “satisfactory quality” is likely to have the greatest benefit for consumers.

Retailer Push Back

And, as mentioned previously, it’s also, probably, going to cause the biggest push-back from retailers as well. Now, instead of it being up to the retailer to decide the remedy, the consumers will decide.

Let’s face it: the current situation is a complete joke when it comes to protecting the consumer. The existing legislation provides for retailers to run through the following (possibly somewhat cynically presented) steps to avoid having to deal with consumers and their defective purchases:

  • Plan A – They’ll firstly do anything possible to do nothing at all, including ignoring complaints, insisting that the product isn’t actually broken, insisting that consumers deal instead with the manufacturer, incorrectly insist on receipt as only proof of purchase, or even insist that their returns policy doesn’t apply in this case.
  • Plan B – When confronted with having to do something, they’ll almost always plump for the “repair” option rather than replace or refund. The repair will take weeks, frequently without a like for like replacement product in the meantime. Frequently, the first repair won’t be successful and so is followed by a longer repair period, trying desperately to bring the consumer to the point of giving up.

It has been my experience, as it has I’m sure with many others, that actually getting a retailer to commit to a refund or replacement is far harder work for a consumer than it ever should be.

Hopefully, this new proposal – if it does go ahead – will vastly improve the consumer experience for many of us.

Problems – I see a couple

Unfortunately, outside of this new 30 day limit, the options seem to remain relatively hazy. The Department press release indicates that outside the 30 day limit, consumers have the right to repair or replacement, and if repairs after “a reasonable time” are still unsuccessful, then the consumer is entitled to a price reduction (to keep the item), or a return the funds to get a full refund.

Who gets to define “a reasonable time”? Is 4 weeks a reasonable time to fix a mobile phone, for example, if Samsung can actually ship 2 ½ million phones each day in that period?

The passage of time is a problem within the currently legislation, and outside of the initial 30 day period, this new legislation doesn’t seem to improve on the current situation.

Additionally, a new “out” is now available to retailers to try to frustrate the consumer getting to their normally ultimate aim of a full refund and return of the item.

Therefore, it will be interesting to see how this “out” – the proposed new “price reduction” option will work out. How faulty does a product need to be for this option to NOT kick in? And if it’s partially faulty, how partial will the refund be?

Back to the phone analogy, if a smartphone won’t access the internet, but makes calls, would this entitle the consumer to a 20% discount or an 80% discount (shouldn’t it be 80% given that internet access on a smartphone is now vital?).

In my next blog post, I’ll look in more detail at the proposals around the provision of information to consumers, and their rights to receive certain information in certain situations.

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Buy in sterling. Refund in Euro. Quids in!

This interesting e-mail came through recently from a regular ValueIreland.com reader. I’m not advocating that people actually do this, but it just shows that for everything the retailers to try to do to squeeze money out of the unfortunate consumer they haven’t actually covered all their bases.

I bought bits of things in Marks & Spencer in Northern Ireland.  I decided I did not want them. I brought them back to Liffey Valley without the receipt and they gave me the full Euro value in the store.  I had paid £50 for the items which in Euro was less that €60, but I got a credit note for €75.

I will have to test bringing the item back with the receipt and see what happens. I have a dress in fact with the sterling receipt.   So if I bought an expensive item for return,  a dress costing £100, converted to €113 cost and returned at €150 in the South,  I could make Euro to cover my petrol costs! Do you think?

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What happens if I buy something but change my mind

Here’s an e-mail we received from a ValueIreland.com reader some time ago. It brings up an issue that many of us might encounter after buying stuff. We like the item in the shop when we pick it and buy it, but when we get home, we’re not so sure any more.

We’re just not happy with it – either it doesn’t fit properly, the colour is wrong, or it just doesn’t fit in with the wardrobe or the style of the room. It could be anything – clothes, furniture or carpets. The key thing here is that there’s nothing wrong with the product – we just don’t want it any more.

Hi. I recently purchased some carpet from Carpetright in Liffey Valley and within 3 hrs of making the purchase with my Laser card over the phone, I changed my mind. This was Thursday 18th December to be delivered on the 22nd.

When I rang back to cancel my order, I was told no problem then a few hours later I got a call stating that as this was an English store they wouldnt be able to do anything for me as “Head Office” had to issue me with a cheque for that amount, and that I should get it in about 4 weeks.

I find this utterly crazy, is this legal ? How can any store working under Irish law be allowed to keep my money even though I recieved no goods or services. Would I be allowed to keep their carpet for four weeks and then decide that I didnt want it ? I doubt it.

Either way, could you please tell me if they are working  within regulations, and if I have any other options in this regard.

In answer to the final questions, the shop are working within regulations – and in fact, they’re being a lot more accommodating to the customer than they need to be. The reference to “Head Office” and so on is really a red herring – if that’s how they process refunds, then that’s how they do business.

In reality, the customer really has no other options because of the fact that they just changed their mind rather than anything being wrong with the carpet, and in such situations the shop isn’t actually obliged to give a refund at all.

There are some shops that would not be so accommodating – shops are not obliged to give you a refund if you change your mind, but many will. If you’re finding it hard to get a refund, maybe try to get a compromise where they give you a credit note for sometime in the future.

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