Next fails to refund online charges

A BBC investigation has found that Next has been breaking consumer law by failing to refund delivery charges applied to goods bought online, but then returned. The BBC has also discovered that staff at other mail order companies

are giving out the wrong information about their refund policies. Under the Distance Selling Regulations (DSRs), a customer returning goods within seven days is entitled to a full refund and the initial delivery charge.

These legally binding rules were introduced in 2000 to protect customers who, unlike high street shoppers, are unable to inspect goods before they buy them.  But Next has been breaching the regulations by billing customers for delivery costs - even if goods are returned within seven days.

When the BBC questioned Next, it said it would change its policy from the start of August. A spokesman said: ''During the last three years, Next has not offered a refund of the delivery charge.

"This was in line with our interpretation of the Distance Selling Directive. However following clarification from the European Court of Justice in April this year on interpretation of the Directive, Next is in the process of implementing the necessary changes to ensure that delivery charges will be refunded. "

Trading Standards said that since the Distance Selling Regulations had been legally binding in the UK since 2000, there was no excuse for not adhering to them.

Andy Foster, operations manager at the Trading Standards Institute, said: ''If there is a failure to refund delivery charges that is clearly wrong and we will interpret that to be a breach of contract."

Mr Foster said there were steps customers could take if the rules were not adhered to. "What they should do is approach the retailer and ask them to give them their money back or they can take their case to the small claims court. He added: ''The majority of businesses we speak to are law-abiding, but there is a small minority that
are not and those are the companies we need to take action against.''

Matt Bath, Technology Editor from Which? said many customers aren't aware of their online rights. ''People face an uphill struggle when trying to convince online stores to give them the money back that they are rightfully owed, the only recourse we have to complain to trading standards or go to the small claims court. Both are long and laborious processes and it's unfair that consumers have to go through that.''

If consumers do believe they have been unfairly charged, Trading Standards is now urging them to get in touch.