Argos refund method.

Manxman_in_exile

If all you did was pick them up instore then yes, I think it's a distance sale.  So it's a pity you weren't in a position to cancel them both.

Whether you, I or others think it's unscrupulous or not is irrelevant.  It comes down to whatever the terms of use of the gift card are.  I - and most other posters here - don't seem to be surprised at the way in which Argos processed your refund back to your gift card.  (It's one of the many reasons why I wouldn't touch gift cards with a bargepole).

Best I can suggest you do is check what the terms of use of the card say in respect of refunds for purchases made partly on a card and partly in cash.  If they don't say that refunds will be credited first to the card, go back to Argos and argue with them.

You may get somewhere or you may not...

Alderbank

Apart from the moneylaundering aspect, there is a business reason why Argos and other giftcard issuers are reluctant to give full cash refunds.
Relatively few cards are bought directly from the issuer at full face value. Many will have been bought from a retailer who bought from a wholesaler who probably paid no more than £15 for a £20 card. Some are bought as corporate gifts or incentives for employees at similar discounts.

It is understandable that Argos will try to avoid giving £20 refund for a gift card they sold for £16 or less.

goater78

freezin76 said:

Manxman_in_exile said:

freezin76 said:

goater78 said:

I didn’t know you could use PayPal in store at Argos. I learn something new every day on here!

What Argos have done seems right though. Not sure you have any options. 

Pay online to pick up in store

Are you saying that's what you did and that this was a distance sale?

If yes, then you should have cancelled both playstations (or whatever they are) and got a full refund, and then bought a single one as a separate transaction using your gift card plus £9.99 cash.

It seems I'm in the minority thinking that this is an unscrupulous way for retailers to behave. I certainly won't be going out of my way to use Argos or their gift cards in the future. 

Probably be sensible to spend the £20 though. 

HillStreetBlues

Alderbank said:

Apart from the moneylaundering aspect, there is a business reason why Argos and other giftcard issuers are reluctant to give full cash refunds.
Relatively few cards are bought directly from the issuer at full face value. Many will have been bought from a retailer who bought from a wholesaler who probably paid no more than £15 for a £20 card. Some are bought as corporate gifts or incentives for employees at similar discounts.

It is understandable that Argos will try to avoid giving £20 refund for a gift card they sold for £16 or less.

What money laundering aspect?
 
All the OP wanted is the "cash" back that was paid in "cash"
They didn't want the gift card turned into cash, the OP just wanted Argos to keep the Argos gift card  for the Nintendo Switch game that was bought.

Manxman_in_exile

I think the problem here is that the OP wants to get to choose how the refund is processed, but he's not entitled to make that choice.

It sounds as if the OP returned the unwanted item under Argos's own returns policy and not under any consumer legislation rights.  I don't know for certain, but I suspect that the terms of use of the gift card and/or the terms of Argos's own returns policy will say that where a purchase has been made - either wholly or partly - with a gift card, then any refund payable will first be credited back to the gift card before any cash is refunded

It's precisely because £20 on a gift card represents less value than £20 in cash that Argos chooses to refund to the card and not by way of cash.  But that's a choice Argos is almost certainly legally entitled to make under their T&Cs and the OP isn't.  And I don't think there's anything in consumer law to say that Argos can't do that.

As I said earlier, I try to steer clear of gift cards and gift vouchers as much as I can because their use is just too restricted in so many ways.

freezin76

Manxman_in_exile said:

I think the problem here is that the OP wants to get to choose how the refund is processed, but he's not entitled to make that choice.

It sounds as if the OP returned the unwanted item under Argos's own returns policy and not under any consumer legislation rights.  I don't know for certain, but I suspect that the terms of use of the gift card and/or the terms of Argos's own returns policy will say that where a purchase has been made - either wholly or partly - with a gift card, then any refund payable will first be credited back to the gift card before any cash is refunded

It's precisely because £20 on a gift card represents less value than £20 in cash that Argos chooses to refund to the card and not by way of cash.  But that's a choice Argos is almost certainly legally entitled to make under their T&Cs and the OP isn't.  And I don't think there's anything in consumer law to say that Argos can't do that.

As I said earlier, I try to steer clear of gift cards and gift vouchers as much as I can because their use is just too restricted in so many ways.

As I'd mentioned in a previous post, if I'd made 2 separate transactions

Item 1 @ 1 x £20 GC and £9.99
Item 2 @ £29.99

I would fully expect to be refunded by GC and £ if I returned item 1 

I'm not naive in that sense, it's absolutely fair.

Conversely I would also expect to be refunded in £ for returning just item 2.

The argument for saying a gift card doesn't represent £x in real terms to the vendor is moot, because it's been redeemed against an item of greater value, that has been kept. 

Irrespective of when it's spent the vendor has attributed a value for which the GC can be exchanged for goods. I just never realised that Argos had become a bit 'Mike Ashley' in their approach.

The takeaway lesson here is if you've got a giftcard try to spend it in a separate transaction against a single item. Do not redeem it against multiple purchases.

...and Argos CS has dropped off a cliff.

Aylesbury_Duck

freezin76 said:

Manxman_in_exile said:

I think the problem here is that the OP wants to get to choose how the refund is processed, but he's not entitled to make that choice.

It sounds as if the OP returned the unwanted item under Argos's own returns policy and not under any consumer legislation rights.  I don't know for certain, but I suspect that the terms of use of the gift card and/or the terms of Argos's own returns policy will say that where a purchase has been made - either wholly or partly - with a gift card, then any refund payable will first be credited back to the gift card before any cash is refunded

It's precisely because £20 on a gift card represents less value than £20 in cash that Argos chooses to refund to the card and not by way of cash.  But that's a choice Argos is almost certainly legally entitled to make under their T&Cs and the OP isn't.  And I don't think there's anything in consumer law to say that Argos can't do that.

As I said earlier, I try to steer clear of gift cards and gift vouchers as much as I can because their use is just too restricted in so many ways.

As I'd mentioned in a previous post, if I'd made 2 separate transactions

Item 1 @ 1 x £20 GC and £9.99
Item 2 @ £29.99

I would fully expect to be refunded by GC and £ if I returned item 1 

I'm not naive in that sense, it's absolutely fair.

Conversely I would also expect to be refunded in £ for returning just item 2.

The argument for saying a gift card doesn't represent £x in real terms to the vendor is moot, because it's been redeemed against an item of greater value, that has been kept. 

Irrespective of when it's spent the vendor has attributed a value for which the GC can be exchanged for goods. I just never realised that Argos had become a bit 'Mike Ashley' in their approach.

The takeaway lesson here is if you've got a giftcard try to spend it in a separate transaction against a single item. Do not redeem it against multiple purchases.

...and Argos CS has dropped off a cliff.

Unsurprising really, when I suspect that the vast majority of people choose the retailer on price alone. 

goater78

I don’t think Argos has ever been known for customer service. 

pinkshoes

MOST shops will always refund to gift card first, then to card/cash.

It has always been this way because they have already received money for the gift card so they will retain extra cash first. 

If I ever purchase something that there is ever any doubt I will return, then I make sure it is done in a separate cash/card transaction, and anything that I'm definitely keeping I use any gift cards for. 

You now have a £20 gift card still so can go get a different game. Or sell it to a friend for £15.

Manxman_in_exile

freezin76 said:

Manxman_in_exile said:

I think the problem here is that the OP wants to get to choose how the refund is processed, but he's not entitled to make that choice.

It sounds as if the OP returned the unwanted item under Argos's own returns policy and not under any consumer legislation rights.  I don't know for certain, but I suspect that the terms of use of the gift card and/or the terms of Argos's own returns policy will say that where a purchase has been made - either wholly or partly - with a gift card, then any refund payable will first be credited back to the gift card before any cash is refunded

It's precisely because £20 on a gift card represents less value than £20 in cash that Argos chooses to refund to the card and not by way of cash.  But that's a choice Argos is almost certainly legally entitled to make under their T&Cs and the OP isn't.  And I don't think there's anything in consumer law to say that Argos can't do that.

As I said earlier, I try to steer clear of gift cards and gift vouchers as much as I can because their use is just too restricted in so many ways.

As I'd mentioned in a previous post, if I'd made 2 separate transactions

Item 1 @ 1 x £20 GC and £9.99
Item 2 @ £29.99

I would fully expect to be refunded by GC and £ if I returned item 1 

I'm not naive in that sense, it's absolutely fair.

Conversely I would also expect to be refunded in £ for returning just item 2...

Well, of course.  But you didn't make two separate transactions and you therefore don't have a separate receipt for the one bought on the gift card, do you?

You don't have any legal statutory consumer right to a refund.  You aren't entitled to one under the law.  You are relying on Argos's own returns policy.  If they want to refund by first applying a credit to your gift card (that you used to make the purchase in the first place) and then refunding any remaining balance in cash, they can do so.  There is nothing wrong in them doing that.

You haven't explained why you bought two games and decided to return one of them. It's unfortunate if the circumstances didn't allow you to cancel both orders under The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (legislation.gov.uk) because this transaction almost certainly qualifies as a distance contract that you could have cancelled.  You could then have re-purchased the one you wanted to keep and used the gift card to buy it.

freezin76 said:

...The takeaway lesson here is if you've got a giftcard try to spend it in a separate transaction against a single item. Do not redeem it against multiple purchases...

No.  Not necessarily.

The lesson is that if you use a giftcard as partial payment for a transaction of greater value than the the gift card itself, and you pay the balance in cash (or credit card etc etc) then if you become eligible for a refund, that refund will almost certainly be processed by first applying a credit to your gift card before you get back any cash (or a refund to your credit card etc etc).

So long as you realise that (and I think more people know it than you might appreciate) there's no reason not to use a credit card for multiple purchases.

My advice to anyone who holds a gift card or gift voucher is to get it spent ASAP, whether on a single or multiple purchase - just spend it!