Citywire for Financial Professionals
Share this page:
Stay connected:

Citywire printed articles sponsored by:


View the article online at http://citywire.co.uk/money/article/a425676

Retailers will try to rip you off: Know your consumer rights

Too many people are unaware of their consumer rights and retailers often take advantage of this. Make sure you don't lose out, and learn what you're entitled to.

by Victoria Bischoff on Aug 25, 2010 at 00:01

If you purchase an item that turns out to be faulty, there are a number of consumer rights you can call on to ensure you are not left out of pocket.

However the problem is that a huge percentage of people are not aware of their rights and retailers are not exactly always forthcoming when it comes to explaining them to their customers. In fact many retailers will do their utmost to convince you that you have no rights.

My Dell example

When my laptop (featured right) stopped working last month, Dell informed me that because my one-year manufacturer’s guarantee had expired the cheapest way for me to cover the cost of the repairs would be to pay nearly £100 to extend my guarantee for another year.

Spluttering with rage, I asked Dell if it was normal for a laptop's hard drive, heating system and fan to need replacing after only 18 months? The answer of course being no, it was obviously faulty to start with, which means under UK and EU law I am entitled to a refund or repair. If I hadn't known this it's likely I would be £100 worse off right now.

UK consumer law

If the goods you purchase in store are not of a satisfactory quality, fit for purpose or as described you are entitled to a full refund under the Sale of Goods Act 1979. Even if the item you purchased was second hand or in the sale you still have the right to your money back.

You are required to return the item within a reasonable period of time, but by law you have six years from the date of purchase to claim. You do not necessarily need to produce a receipt to get a refund, but it is considered reasonable for the retailer to request some proof of purchase be it a credit card statement or cheque book stub.

You can alternatively ask for a repair or replacement item, which the retailer must arrange so that it does not cause inconvenience for you. Or if you have had the item a while and the trader is unable to provide a repair or replacement, you may be entitled to a partial refund.

If there is a dispute that the goods were faulty at the point of sale, if you claim within six months it is up to the seller to prove the goods were not faulty. However if you claim after six months the burden of proof falls on you to prove the fault was not caused by accidental damage or wear and tear.

The secret EU two-year rule

While in the UK consumers are protected up to six years, the law is complicated and in practice consumers can find it difficult to enforce.

Therefore it is important consumers are also aware of the slightly more clear-cut EU regulations. Under EU law, you have two years to request a repair or replacement if your goods turn out to be faulty or are not as advertised.

Sign in / register to view full article on one page

31 comments so far. Why not have your say?

IFA Watcher

Aug 25, 2010 at 09:11

Can you specifically name the secret EU two-year rule please?

A £2,000 large screen SONY LCD TV failed after 13 months .... yep it had a 12 month warranty and the repair bill is £880. So I would be interested to know if SONY have anmy obligation to replace or repair it.

report this

Chris Marshall (Citywire)

Aug 25, 2010 at 09:15

The directive mentioned is:

Directive 1999/44/EC of the European Parliament and of the Council of 25 May 1999 on certain aspects of the sale of consumer goods and associated guarantees

report this

George Hill

Aug 25, 2010 at 09:16

If only people would realise that the whole POINT of most retailers - no, let's include EVERY firm in existence - is to offer the LOWEST possible service they can ge away with. Longer queues, untrained staff, con customers into accepting less than their legal rights... and more. Am I a cynic? Sure - but with with strongly founded reasons for being so...

report this

Guy MacNaughton

Aug 25, 2010 at 09:39

Does this position also apply to new cars? What constitutes "faulty" and a replacement vehicle?

report this

June Beddows

Aug 25, 2010 at 09:51

What happens if the store goes out of business, do you lose your rights altogether? Product is a well known International brand, still in business.

report this

Dave in London

Aug 25, 2010 at 10:02

The wife bought some expensive boots from Jaeger last year, almost £200. 2 days later after wearing them for maybe 2 hours both soles were almost worn through - clearly a design flaw. Took them back to the shop and the snotty sales person said she couldn't take them back as they had been worn.

Yes love, they have been worn and look what has happened!

Had to pull out the old sale of goods act and call head office to get a refund, had I not been so persistent the Mrs would be £200 down.

Shame on you Jaeger for making it so difficult, you lost a regular customer.

report this

IFA Watcher

Aug 25, 2010 at 10:16

Dear Chris Marshall, thanks for that EU Law information. I will be sending Sony a second letter!

report this

Anonymous 1 needed this 'off the record'

Aug 25, 2010 at 10:17

Guy Naughton. You asked about the siuation with cars.

Do you have a diesel powered Volvo with a Diesel Particulate Filter? That is the hot potato at present.

report this

JT

Aug 25, 2010 at 10:19

I think that another issue is that the retailing staff don't understand consumer rights also - so they inform you of false information because that's their understanding. I bought a faulty TV from PC World which didn't even turn on - i asked to change it and they send I couldn't but they'd sent it back to the manufacturer for a free repair - i just laughed! The Senior store manager knew better...

report this

G Baker

Aug 25, 2010 at 10:21

The UK's Sale of Goods Act gives consumers up to six years to make a claim for faults that occur within a 'reasonable time'.

The key to the "up to six years to make a claim" for faulty goods is that of what, for the goods and the price paid, is a 'reasonable' time. So the £2000 TV should be expected to last for six years, whilst a £125 Washing Machine may not (just an example, up to the customer to decide and argue accordingly).

Here’s what the government advises retailers regarding their obligations under the UK's Sale of Goods Act.

“If a customer rejects faulty goods within this ‘reasonable’ period, they’re entitled to ask for their money back. All customers can claim compensation at any time if they choose. If you sell to consumers they can ask for a repair or a replacement immediately (instead of asking for a refund) at any time until six years after purchase.

If you’re dealing with a consumer, any repair or replacement you arrange must not cause them too much inconvenience. You may have to pay for other costs such as transportation. However, if a replacement is impossible and the goods cannot be repaired economically, or vice versa, then you can offer a full or partial refund.

In law you have a responsibility to your customer for up to six years from the date of purchase (in Scotland, five years from discovery of the problem). During this period, you are legally obliged to deal with any claim of breach of contract.”

report this

murry evans

Aug 25, 2010 at 10:31

Simple! don't buy faulty goods!! Any fool knows that!!!

report this

murry evans

Aug 25, 2010 at 10:33

If you are foolish enough to buy faulty goods, don't moan, don't try and get your money back. Usually the fault is nothing that a good spread of Gaffer tape cant fix!

report this

Bluedrum

Aug 25, 2010 at 10:33

I had a Toshiba TV that I bought from Dixon's for £880. It failed after approx. 20 months. A colleague mentioned the sale of goods act and I checked with Consumer Advice. I received a partial refund of £520 (first offer was £450) plus the cost of an independant written report £50. Originally they were going to send me a Curry's voucher, but they then transferred the money to my account. I bought a new TV from Curry's and they have just sent me an option to purchase a warranty for £250, but with the SoGA protection there's no point.

report this

murry evans

Aug 25, 2010 at 10:35

By the way share in gaffer tape are cheap at present, I reckon with my previous advice there will be a huge rush of people buying the product to fix the faulty goods they bought. Forthis reason I recommend shares in Gaffer tape as a BUY!

report this

whitegates

Aug 25, 2010 at 10:54

I bought two expensive Bisque radiators last September and had them installed by a local plumber. After several months one started to leak (from part of the radiator not the fixings or pipes). Claimed a refund from the retailer . They said fine we will order another one for you. I then said I wanted to claim the cost of re-installatiom also and they have referred me to Bisque who have sent two bottles to take samples of the water in the radiator which has been sent off to a laboratory. However, my question is can I insist that the retailer/manufacturer pay for the cost of the re-installation?

Advice from any qualified "legal eagles" out there would be much appreciated.

Thanks.

report this

Anonymous 2 needed this 'off the record'

Aug 25, 2010 at 11:54

Whitegates - I think you might be able to claim consequential loss from being supplied faulty goods. If the retailer is unwilling to cough up, trading standards can advise (for free) how to go about reclaiming the re-fitting costs. If you purchased with a credit card you could make a claim under s75 under the Consumer Credit Act. Best to check this point out...

report this

Herb Kane

Aug 25, 2010 at 12:17

Why do we have to put up with idiots like Murray

Evans? Best use for gaffer tape would be on his

mouth and his fingers, might stop him from

boring us with his childish nonsense

report this

M Davis

Aug 25, 2010 at 12:22

Does the UK Sale of Goods Act protect buyers of ‘new build’ houses in any way, i.e. the house itself and all items and services installed by the builder?

report this

D D

Aug 25, 2010 at 13:01

I didnt keep my receipt, and I can't remember which store sold me some electronic scales last winter.

They failed this spring, so I contacted the manufacturer using its "Customer service" address on the box. The scales were obviously new (with 2009 printed on the box), but the manufacturer fobbed me off, saying it was the retailer's problem, not theirs!!!!!!!

report this

D D

Aug 25, 2010 at 13:01

I didnt keep my receipt, and I can't remember which store sold me some electronic scales last winter.

They failed this spring, so I contacted the manufacturer using its "Customer service" address on the box. The scales were obviously new (with 2009 printed on the box), but the manufacturer fobbed me off, saying it was the retailer's problem, not theirs!!!!!!!

report this

felix s

Aug 25, 2010 at 15:33

I had a panasonic plasma wnet wrong after 6 mnoths. I though tit was reception and didn;t twig until got a tv guy around after about 14 months. Needed a new circuit board in the telly. Fortunately he was a good guy and took it to a panasonic dealer who fixed it for free. He said panasonic woould normally fix anything upto 2 years after purchase as a gesture of goodwill - maybe its this EU rule then but they were very good anyway. No idea what Sony are like though sorry.

report this

rich banker

Aug 25, 2010 at 17:46

Caveat Emptor (Buyer Beware) seems not to apply nowadays except that sellers may try to con you out of your rights.

I regualarly quote EU Law to get money back or services rectified even if I am unsure any law exists!!! COMET are so bad I never use them. Currys I have found great.

Most sellers assume it does...... such is the capacity for EU law makers to make law.

Good article well done, WHICH? would be proud of you...

report this

David Andrews

Aug 25, 2010 at 22:04

@DD

AFAIK your contract is with the people who sold you the scales so I don't think the manufacturer was fobbing you off,

Normally it it retaikers trying to tell people to go to the manufacturers that is the problem.

report this

Ramnik Tanna

Aug 25, 2010 at 22:07

I have been messed about a claim for buglary by Aviva for almost 4 years now although I have received many appologies for delay and informed that it should not have delayed so long.can I take my case to any EU justification can anybody guide me.

report this

Edward Hicks

Aug 25, 2010 at 23:08

Ramnik - have you reported them to the Insurance Ombudsman. There are strict timescales for certain aspects of claims but, if the Ombudsman passes it on to lawyers it seems they can then delay things for a long time. A change in the Law is called for. Lawyers have no interest in bringing to a conclusion whilst their fees are growing.

report this

Anz

Aug 25, 2010 at 23:14

To DD.You have a contract with the retailer not the manufacturer.

To George Hill. I am the owner of a small retail business and my aim is not to rip off my customers nor to offer a low level of service, quite the opposite. However, I do get very fed up with customers who "know their rights" and think they are entitled to just whatever they like. Generally these are the ones who actually do not have any rights in the situation, they are the ones who shout the loudest. Let's have more about responsabilities and less about rights.

report this

George Hill

Aug 26, 2010 at 11:51

Couldn't agree more Anz. Let's have more about responsibilities and PERHAPS a LITTLE less less about rights. We must remember of course that EVERY company is in business to make money for its owners & shareholders. Microsoft ISN'T in business to make software, Ford ISN'T in business to sell cars.. well, you get the drift. ANY commercial organisation (including yourself) would change horses in a millisecond (and rightly too) if they weren't making a profit. I stand by what I said about virtually EVERY commercial outfit in the world though... I didn't say that every firm offered a LOW level - just the lowest they can get away with before their customers riot or go elsewhere...

report this

Peter Thoresen

Aug 26, 2010 at 21:24

There is hardly anything in the world that some man can’t make a little worse and sell a little cheaper and the people who consider price only are this man’s lawful prey.

John Ruskin.

Says it all!

report this

Armand

Aug 28, 2010 at 12:20

A word of advice. The Sale of Goods Act only provides protection for items purchased from a 'retailer'. Goods bought from Makro or Cost-Co may not be covered beyond the guarantee period given by the manufacturer and/or publicised at the time of purchase. Makro for example, is classed as a 'wholesaler' and the protection of the sale of Goods Act does NOT apply. Further, I'm advised that the UK is not a signatory to the Directive 1999/44/EC, because the Sale of Goods Act provides cover which is superior to that Directive; unless you bought your item from what is classed as a wholesaler, in which case, neither apply.

report this

Jon Gallagher

Aug 30, 2010 at 19:49

Wow - 6 years and i had no idea. Does thie mean that retailers such as Argos which try and persuade you to take out extra protection are just playing on the ignorance of their customers. Pity it could not be extended to house purchases as it seems people in this category have no rights whatsoever.

report this

Jon Gallagher

Aug 30, 2010 at 19:53

Can anyone advise if this act covers central heating boilers in a new build property as the PCB Board in my system had to be replaced at a cost of nearly £300 and it was only 3 years old at the time so must have been faulty.

report this

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

Tools from Citywire Money

Today's articles

From the Forums

+ Start a new discussion

More about this:

Archive

Sorry, this link is not
quite ready yet