When am I entitled to a refund?
18 quoted answers, each with its source
The short answer
For a major problem with a product, the claims conflict on whether repair is available: the ACCC states the business must give the consumer the choice of a refund or a replacement, while another ACCC statement and BIG W's returns page also list repair. It is unlawful for a business to rely on store policies or signs that say "no refunds" or "no refunds or exchanges on sale items"; sale items carry the same legal refund rights as full-price products, and a return for a refund, repair or replacement does not require original packaging. A consumer who got what they asked for but simply changed their mind has no repair, replacement or refund right under the consumer guarantees, and a sign saying no refunds for change of mind is acceptable. A refund should be the full amount paid, must not be reduced for the consumer's use, and should be in the same form as the original payment unless the business and consumer agree otherwise; Origin Energy agreed to hand money back to over 4500 affected customers after an ACCC investigation.
Every part of this comes from the quotes below. How we write these.
What the rules actually say11
Quoted straight from the ACCC, the Australian Consumer Law or a state consumer regulator.
The ACCC states that a refund…
- should be the full amount the consumer paid.
- must not have an amount deducted to take account of the use the consumer has had of the product.
1 quote from 1 source
A refund should be the full amount the consumer paid for the product. The business must not deduct an amount from a refund to take into account the use a consumer has had of the product.
- Repair, replace, refund, cancel | ACCC accc.gov.au
Refunds should be provided in the same form as the original payment unless the business and consumer agree otherwise.
1 quote from 1 source
Refunds should be provided in the same form as the original payment, unless the business and consumer agree otherwise.
- Repair, replace, refund, cancel | ACCC accc.gov.au
The ACCC states that it is illegal for businesses to rely on store policies or terms and conditions saying 'no…
- refunds'.
- refunds or exchanges on sale items'.
1 quote from 1 source
It’s illegal for businesses to rely on store policies or terms and conditions which deny these rights. For example, policies which say ‘no refunds’ or ‘no refunds or exchanges on sale items’.
- Repair, replace, refund, cancel | ACCC accc.gov.au
The ACCC states that consumers are not entitled to a repair, replacement or refund under the consumer guarantees when they got what they asked for but simply changed their mind.
2 quotes from 1 source
Consumers are not entitled to a repair, replacement or refund under the consumer guarantees if:
they got what they asked for but simply changed their mind
- Repair, replace, refund, cancel | ACCC accc.gov.au
Consumer Affairs Victoria states that consumers have the same legal refund rights on sale items as they would have on full-price products.
1 quote from 1 source
Consumers have the same legal refund rights on sale items as they would have on full-price products.
- Sales items - refunds - Consumer Affairs Victoria consumer.vic.gov.au
Consumer Affairs Victoria states that a sign reading 'No refunds will be given if you have simply changed your mind' is acceptable.
1 quote from 1 source
Signs that state 'No refunds will be given if you have simply changed your mind' are acceptable.
- 'No refund' signs - Consumer Affairs Victoria consumer.vic.gov.au
Consumer Affairs Victoria states that consumers have the same legal rights to a refund, repair or replacement whether or not the goods are returned in the original packaging or wrapping.
1 quote from 1 source
Consumers have the same legal rights to a refund, repair or replacement whether or not the goods are returned in the original packaging or wrapping.
- Original packaging - Consumer Affairs Victoria consumer.vic.gov.au
The ACCC's guide for businesses and legal practitioners states that…
- signs reading 'no refunds' are unlawful because they imply it is not possible to get a refund under any circumstance.
- 'No refund on sale items' signs are unlawful because they imply it is not possible to get a refund under any circumstance.
2 quotes from 1 source
Signs that state ‘no refunds’ are unlawful, because they imply it is not possible to get a refund under any circumstance—even when there is a major problem with the goods. For the same reason, the following signs are also unlawful:
‘No refund on sale items’
Practical effect2
What is observed to happen in practice, as distinct from what is documented.
- Origin Energy agreed to hand money back to over 4500 affected customers.
- Origin Energy's agreement to hand money back was a result of an ACCC investigation.
2 quotes from 1 source
Origin Energy is refunding over $270,000 to customers after a consumer watchdog investigation.
As a result of the ACCC’s investigation, Origin has agreed to hand money back to over 4500 affected customers.
Changed on1
A dated change. This is where advice quietly stops being true.
The ACCC states that its Warranties and refunds guide is relevant to goods and services bought before 1 January 2011, when the current law was introduced.
1 quote from 1 source
This guide is relevant to goods and services bought before 1 January 2011, when the current law was introduced.
- Consumer rights and guarantees | ACCC accc.gov.au
Disputed between sources1
Sources that do not agree, presented without picking a winner.
The ACCC states that for a major problem with a product the business must give the consumer the choice of a refund or a replacement.
3 quotes from 2 sources
When a business sells a product with a major problem, or a product that later develops a major problem, it must give the consumer the choice of a:
replacement of the same type of product.
If the problem is major, you are entitled to a replacement, repair or refund.
Often said, but we could not find it in the rules3
Lots of people say this. We went looking for an official source that backs it up and could not find one, so treat it as something people repeat rather than something settled.
BIG W's returns page states that for a major problem the customer is entitled to a replacement, repair or refund.
1 quote from 1 source
If the problem is major, you are entitled to a replacement, repair or refund.
BIG W's returns page states that BIG W retains the right to refuse a refund for unverified purchases.
1 quote from 1 source
BIG W retains the right to refuse a refund for unverified purchases.
Kmart's change of mind returns policy states that to be in resaleable condition a returned product must be in its original packaging, including instruction manuals and all accessories.
2 quotes from 1 source
The product must be in resaleable condition, meaning:
It is in its original packaging, including instruction manuals and all accessories; and