Increasing fraud prompts retail crackdown on returns
Posted Dec 24, 2009 02:48:57 PM.
This article is more than 5 years old.
Once all the gifts are opened on Christmas, there’s often a trek back to the stores and malls – to return the unwanted presents.
But thanks to a rising wave of “return fraud,” Canadian consumers can expect retailers to make a few new demands before making good on the return.
Christine James with the Retail Council of Canada says a recent survey revealed that 72 per cent of Canadian retailers had experienced return fraud.
“That would be, for example, a return with a bogus receipt, or returns of stolen merchandise, things like that,” she explained.
JAMES SAYS the fraud problem has led to more stringent return policies, with some retailers refusing to offer cash refunds. She say it’s also common for stores to ask for personal information in order to verify someone’s identity.
James says retailers are allowed to ask for information that’s readily available through a public source, like a phone book – but they shouldn’t ask for your home address.
“If you’ve got the same credit card that you purchased the item with, in theory, the retailer shouldn’t need that,” she said.
At most, James says a retailer could ask to see a driver’s license – to verify information, but not to record it.
She says if they ask for something you’re not sure about, ask to see their privacy policy – and suggested waiting a few days for the post-Christmas rush to die down before trying to bring back any gifts.
