KEY POINTS:
When it comes to retail refunds, the old rule still applies - shop around. That's because some retailers are more flexible than others in giving customers a refund.
Policies have been tightened up over the years with many retailers now requiring proof of purchase before giving refunds.
So just how easy is it for honest customers to get a refund these days - with or without a receipt?
The Weekend Herald road-tested randomly selected retail chains on Auckland's North Shore to try out their refund policies. The reason given was: "I've changed my mind."
Goods were bought at The Warehouse, Briscoes, Foodtown, Whitcoulls and Farmers. Items were purchased in the morning and returned in the afternoon in a resaleable condition. Cash was used for purchases.
In the first experiment, a receipt was provided and a cash refund or exchange was given in all stores.
However, in the second experiment (at different branches), a receipt was not provided. The Herald was given a cash refund or exchange in four stores - despite their policies requiring proof of purchase for a refund or exchange.
Noel Leeming was very strict about implementing its refund policy. And so was The Warehouse, insisting it could not give a refund or exchange without a receipt, despite pleas from the Herald.
Other stores were more flexible. Briscoes asked the Herald when it had purchased the goods and checked the transaction on a computer. Once it was confirmed, a refund was given, though there was no receipt.
Whitcoulls said it was no problem getting a refund without a receipt because the shop assistant remembered the reporter coming in earlier.
Similarly, Foodtown gave a refund without a receipt after confirming with the check-out operator that she had served the reporter.
Farmers offered to refund the cash on to an eftpos or credit card because the item was brought back the same day. That offer was declined, so vouchers were offered - which is the norm when more than a day has lapsed.
Requiring proof of purchase protects retailers. The Warehouse was forced to change its returns policy last year due to dishonest customers.
In the past, customers could return goods without a receipt and/or in a non-resaleable condition and get a refund.
But some customers were, for example, buying shoes and returning them after wearing them for several months.
Customers now need proof of purchase and the goods must be in a resaleable condition before a refund or exchange is given.
Farmers also had a similar problem. Marketing head Dean Cook told the Herald the company tightened its policy three years ago.
"We found an increasing number of customers bringing back goods several weeks post-purchase in a used state requesting full refunds. We experienced this particularly with used footwear, clothing and underwear, even fragrances where the bottle was only three-quarters full."
Now, exchanges are given if goods are returned within 14 days with proof of purchase and provided they are in a resaleable condition. Cash refunds are given at the manager's discretion.
Whitcoulls national sales manager David Surplis said refunds were given if there was proof of purchase and the goods were in a resaleable condition. He said there was no time limit, but managers were expected to use their discretion. Products could be exchanged without proof of purchase.
Consumers' Institute head Sue Chetwin said customers, who were protected under the Consumer Guarantees Act and Fair Trading Act, should always make sure they kept their receipts.
"You do have a problem if you are trying to take something back and you don't have a receipt.
"However, if the goods are pristine, or you do have a problem, and you go back in a timely fashion, some stores will show some discretion [without a receipt]."
She said the requirement of proof of purchase and that the goods be in a resaleable condition protected the retailers.
"While the consumers do have to be protected, retailers also have to be protected."
The refund test
The Herald bought items from North Shore stores, then returned them to test their refund policy.
The experiment was done twice but at different branches.
The first time the goods were returned on the same day with a receipt. The second time - without a receipt. Items were returned in a resalable condition.
The Warehouse
Toy truck and boy's T-shirt $16.80.
Refund given with receipt? (Glenfield):Yes.
Refund given without receipt? (Albany Mega Centre): No.
Policy: 12-month money-back guarantee with printed proof of purchase. Goods must be in a resalable condition unless defective.
Briscoes
Chrome fruit bowl and photo frame $17.
Refund given with receipt? (Wairau Park): Yes.
Refund given without receipt? (Albany Mega Centre): Yes.
Policy: Refund given with proof of purchase and must be in a resalable condition. No specific time limit, but must be reasonable. Faulty goods need proof of purchase.
Farmers
Hair dryer $25.
Refund given with receipt? (Wairau Park): Yes.
Refund given without receipt? (Albany Mega Centre): No, but Farmers vouchers given.
Policy: Exchanges given within 14 days with proof of purchase providing the goods are in their original condition. Faulty goods need proof of purchase and will be refunded, exchanged or repaired.
Foodtown
Goods: Bananas and toothpaste $5.30.
Refund given with receipt? (Takapuna): Yes.
Refund given without receipt? (Mairangi Bay): Yes.
Policy: If goods are off or you change your mind, a refund will be given as long as you have your receipt. If goods are off, you will get a replacement as well. If you don't have a receipt, it's left to the manager's discretion.
Whitcoulls
Book (Cat in the Hat) $15.
Refund given with receipt? (Glenfield): Yes.
Refund given without receipt? (Albany Mega Centre): Yes.
Policy: Proof of purchase required and goods must be in a resalable condition. Proof of purchase not needed for exchange. No time limit, but managers use their discretion.
