Sisters In Law: How do you get a refund for online shopping?

When this man’s online purchase didn’t arrive, he just wanted his money back. But the overseas retailer hasn’t made it easy. And it’s a problem many others face.

Welcome to Sisters In Law, news.com.au’s weekly column solving all of your legal problems. This week, our resident lawyers and real-life sisters Alison and Jillian Barrett from Maurice Blackburn advise about what to do if you don’t receive an online order and want a refund.

Question:

I ordered $500 worth of clothes for delivery and they’ve never arrived but I can’t seem to get my money back.

The sellers are based in the US and they keep sending me links showing that the parcel is at a private courier depot in Australia, but it’s been over eight weeks and nothing has arrived.

I just want my money back but they don’t respond to me when I ask for that.

I paid with a bank card (not a credit card) and I don’t know who to chase up to get a refund – the seller, the courier or my bank. What should I do? – Dion, Queensland

Dion just wants his money back but they don’t respond to him when he asks for that. Picture: iStock

Answer:

If you had ordered the clothes from an Australian online retailer, then all of your usual rights to a replacement, repair or refund apply to online shopping.

However, as you purchased from an overseas retailer, it is not as straightforward to enforce your rights, and you will have to contact the consumer protection agency in the country where the retailer is based.

If you’ve purchased the clothing from an online auction site (like eBay), most offer a dispute resolution process for buyers and sellers. This should be your first step to resolve the dispute.

If, however, you purchased direct from a supplier, the US has a Bureau of Consumer Protection as part of their Federal Trade Commission whereby they conduct investigations, and sue companies and people that violate the law.

The US has a Bureau of Consumer Protection as part of their Federal Trade Commission whereby they conduct investigations, and sue companies and people who violate the law. Picture: iStock

You should:

1. Contact the private courier depot where the seller has said your goods are and ask them if the goods are actually there. If so, make arrangements for the goods to be delivered.

2. Make a report to the Federal Trade Commission. These reports are used to investigate fraud (where businesses might be scamming people out of money and not doing what they have agreed to, such as providing you with the clothes).

3. Lodge a ‘chargeback’ request with your bank. Even if you used a debit card (rather than a credit card) your bank will investigate and run the dispute for you.

It may be smarter to buy with Aussie retailers. Picture: iStock

To avoid being in the same situation again, here are some tips when shopping online:

1. Make online purchases with Australian retailers.

2. Read online reviews to check it is a reputable and legitimate business, with an easy refund or dispute process.

3. Read the terms and conditions of the sale, including the refund and exchange policy, after sales support and delivery details.

4. Don’t make any payments unless you can make a secure payment and are on a secure website (usually there will be a picture of a closed padlock on the page)

Try to use a debit card, credit card or PayPal for the purchase. Picture: iStock

5. Make sure the company has a physical street address and a landline phone number. This will help ensure you can actually get a refund or repair.

6. Try to use a debit card, credit card or PayPal for the purchase. If there is a dispute, your bank or PayPal will usually investigate and chase the refund for you.

7. Keep a copy of the purchase confirmation and check against your credit card or PayPal statement.

This legal information is general in nature and should not be regarded as specific legal advice or relied upon. Persons requiring particular legal advice should consult a solicitor.

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