Refunding original postage?

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I'm not sure if I'm correct, and am hoping someone can help me please. I thought I had read somewhere that if I've returned an online order, my original postage should be refunded to me. I ordered an item of clothing online, and paid £7 postage (the only postage option). I returned it via their free return service within 2 days as it didn't fit. They have refunded the cost of the goods but not the postage. I emailed to query this and they have stated that their Ts&Cs on the website state that the customer is responsible for the original delivery/shipping even if goods are returned. Is this correct? They are a UK based company & I'm in the UK. Thank you.
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https://www.legislation.gov.uk/uksi/2013/3134/regulation/34/made
Did you by any chance clearly tell the seller that you were exercising your statutory right to cancel the order under the regulations linked to by @eskbanker? That is actually what you should have done even if you were just wanting a refund.
If you did cancel under the regulations then they must refund you the postage. [See reg 34(2) in the link]
But if you didn't make it clear that you were cancelling under the regulations, you possibly leave it open to them to argue that you returned for a refund under their own policy, and under the terms of that policy they do not have to refund you the delivery charge. (Whether that is actually the case here I don't know. I'm just suggesting it as an example of what may have gone wrong)
I suggest you go back to them and clarify that what you were doing was cancelling under the Regulations and therefore you are entitled to a refund of the delivery charge. Quote reg 34(2) to them.
Regulation 32 explains how to exercise the right to cancel. It's very useful to know:
"Exercise of the right to withdraw or cancel
32.—(1) ...
(2) To cancel a contract under regulation 29(1), the consumer must inform the trader of the decision to cancel it.
(3) To inform the trader under paragraph (2) the consumer may either—
(a)use a form following the model cancellation form in part B of Schedule 3, or
(b)make any other clear statement setting out the decision to cancel the contract.
(4) If the trader gives the consumer the option of filling in and submitting such a form or other statement on the trader’s website—
(a)the consumer need not use it, but
(b)if the consumer does, the trader must communicate to the consumer an acknowledgement of receipt of the cancellation on a durable medium without delay.
(5) Where the consumer informs the trader under paragraph (2) by sending a communication, the consumer is to be treated as having cancelled the contract in the cancellation period if the communication is sent before the end of the period.
(6) In case of dispute it is for the consumer to show that the contract was cancelled in the cancellation period in accordance with this regulation"
Remember that the cancellation period is up to 14 days after receipt of the goods, and you have up to a further 14 days to return the goods.
Unless a trader's own returns policy gives you a better deal than the regulations do, always make it clear you are cancelling under the regulations.
To be clear, you have now informed them within 14 days of receiving the goods that you are cancelling as per your rights under section 34 of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013?
Happy to be corrected though.