Being Charged a restocking FEE Help! Paypal Credit

gags

Hi there
I purchased a GFX card from a well known online retailer. After receiving the item I decided it was an impulse purchase and decided to return it.
I used PayPal Credit for the purchase and the transaction was £699
The company arranged an  RMA and collection via DPD.
All went smoothly until today I got an email today stating:
"Good afternoon
I am sorry to advise that because you have omitted to return the foam sheet that goes over the GPU, inside the cardboard box to protect it, we are unable to issue you with a full refund. The refund that we can offer you will be minus a 21% restocking fee.

Your refund will be forthcoming once you have accepted the refund minus 21%

 We look forward to hearing from you.

 Kind Regards,"

I was so shocked to receive this email. The company basically want to charge me £146.79 for a piece of foam....This doesn't sit right with me. I didn't even know the foam was missing until the email and then I subsequently found it. I'm kicking myself I missed it when I repacked it.

I replied asking what my options are and if I could post the foam back to them...I am awaiting a reply. I'm wondering how I stand legally with this? I'm hoping I am covered by PayPal protection and section 75 as I used PayPal Credit.

Can this company legally charge me £146.79 for a piece of foam disguised as a restocking fee?

Here is the small print form their site..

1. make deductions from the price, as described below.
2. When we may make deduction from refunds if you are a consumer exercising your right to change your mind. If you are exercising your right to change your mind:
   (a) We may reduce your refund of the price to reflect any reduction in the value of the goods, if this has been caused by your handling them in a way which would not be permitted in a shop or if the goods are damaged in transit from you to us. If we refund you the price paid before we are able to inspect the goods and later discover you have handled them in an unacceptable way and/or they have been damaged in transit, you must pay us an appropriate amount.
3. When your refund will be made. We will make any refunds due to you within 14 days from the day on which we receive the product back from you.

My question is Does missing the foam actually reflect a reduction in the value of the goods by £146.79 ?

I'm thinking any Lucid Financial ombudsmen would disagree...

Thanks in advance

G

fwor

I suspect that any test of reasonableness would agree that you have reduced its value by missing out some of the packaging. They can't just put it back into stock and sell it to someone else as if it were brand new, so they will have to bear a loss (or more accurately the loss of opportunity to sell at full retail) in order to sell it.

I would also suspect that they don't want to enter into a debate with each customer that forgets to return part of a product, because that would be time consuming, and could end up with an argument that a piece of foam is worth £x rather than £y.

So that is probably why they put a simple % value in their terms and conditions.

As you signed to agree to the T&Cs, and the term doesn't seem unreasonable, I would think you are stuck with it. Have you tried phoning them and asking whether they will reconsider if you return the foam, as a gesture of goodwill?

bris

It's also unsealed. when I buy computer parts I want them sealed, anything else is a customer return or display model. 

No one wants to pay top dollar for an unsealed or display model as they don't know what the product has been put through.

The retailer will sell this as an opened box product and take a hit on it.

Op as you have already highlighted your problem you will find the finance co will have no choice but to agree with the retailers findings.

cymruchris

As you've not returned the item 100 percent as new - being opened and packaging missing, they are entitled to give a refund that reflects the value of the item they can resell. As it happens they have a standard formula in their calculations and have applied it. If you'd received it as you said as an impulse purchase and returned it still sealed and brand new, you would have gotten your full refund. Now they'll have to sell it off cheap, and it's not their fault, so sadly you'll have to take the hit. How much would you expect to pay for that item 'open-box' compared to sealed and new? Or moreover, how much does that item currently sell open-box on ebay or other used sites? It's not going to be what you paid for it. 

Mingarryman

I hope it's a lesson learnt...the time to change your mind is before ordering. An item costing £699 should not be bought on impulse. A 20% refund deduction isn't outrageous.

VXman

cymruchris said:

As you've not returned the item 100 percent as new - being opened and packaging missing, they are entitled to give a refund that reflects the value of the item they can resell. As it happens they have a standard formula in their calculations and have applied it. If you'd received it as you said as an impulse purchase and returned it still sealed and brand new, you would have gotten your full refund. Now they'll have to sell it off cheap, and it's not their fault, so sadly you'll have to take the hit. How much would you expect to pay for that item 'open-box' compared to sealed and new? Or moreover, how much does that item currently sell open-box on ebay or other used sites? It's not going to be what you paid for it. 

So if the item had been returned with the foam and packed correctly would the company have given a full refund? If refunds are allowed does it mean packaging has to be untouched/unpacked.

I bought a 2 laptops once as i wasn't sure which one I wanted. I took the unwanted one back to John Lewis. I hadn't used it but I had unpacked it/touched it. No issues with refund. In fact they unpacked it to check it over. I assume they have professional repackers and the cost of returns/repacking is built into the price of online selling.

What about clothes - people order online, try on and return all the time. Surely that is resold as new?

[Deleted User]

£146.79 might be quite cheap if it had been damaged in transit due to lack of protection
Even with the part, it's still a second hand/open box sale that they will be unable to sell at full price so even with distance selling rules, you're highly unlikely to get an S75 full refund simply because you changed your mind after already opening it. Let's be honest, no-one buys a GPU, gets it, opens it and then suddenly changes their mind - there will be enough reason like your system isn't good enough to use it properly or the increase in performance wasn't enough

Oh and the FOS won't be interested, it's not a financial services dispute

DjangoUnchained

sorry, i think you are all wrong. One of the things about buying stuff online is that you have 14 days to decide if you want to keep it or return for a full refund. you dont even have to give a reason. Might seem tough on the retailer but unfortunately for them that is the law and the price of them doing online business. Missing bits of packaging do not count as  a deductable  expense for them to charge you a fee. They are trying it on, dont let them get away with it. £146 for a bit of packaging, even a complete box is taking the proverbial. 

phillw

VXman said:
What about clothes - people order online, try on and return all the time. Surely that is resold as new?

I don't know if that is universally true & clothes are low cost with a high margin, so they will still make money selling at a lower price (there are companies that specialize in selling catalogue returns).
Amazon warehouse sells items that have been opened and returned, like the graphics card . The high price and low margin would probably lose quite a bit, although maybe not £140.

Of course legally they might not be allowed to charge you a fee, but posting on here isn't really going to make them change their mind. All you can do is dispute it with the credit card company (if he indeed paid for it with a credit card).

p00hsticks

DjangoUnchained said:

sorry, i think you are all wrong. One of the things about buying stuff online is that you have 14 days to decide if you want to keep it or return for a full refund. you dont even have to give a reason. Might seem tough on the retailer but unfortunately for them that is the law and the price of them doing online business. Missing bits of packaging do not count as  a deductable  expense for them to charge you a fee. They are trying it on, dont let them get away with it. £146 for a bit of packaging, even a complete box is taking the proverbial. 

My understanding is that the online 'change of mind' legislation only permits you to examine the item at home to the same extent as  you would have been able to if you had actually selected the item from a shop. so for example, you can't break the seal on a CD or DVD, cut away any plastic packaging or insert a SIM into a mobile phone. If you;ve done anything to devalue the goods whilst in your care (as has potentially happened in this case) the retailer isn't obliged to refund the full purchase price, providing there is something in their terms and conditions to state this.

stokegal

How long after delivery did you return the item?

If it is within 14 days see the link below, taking note to the comment about items being returned in their original packaging.

https://www.citizensadvice.org.uk/consumer/changed-your-mind/changing-your-mind-about-something-youve-bought/

I have always found PayPal to be incredibly helpful if you reach out to them. I disputed a transaction with a retailer which I wished to return within 14 days - the retailer refuses so I raised it directly with PayPal and the refunded within 24 hours (it was for a service not goods in my case)