02.07 / Topic 07 of 11
Shopping & Money
Refunds, returns, fake reviews and the price-tag myth.
When you buy from a business, the law gives you rights that no 'no refunds' sign can take away.
- 14
- Essential laws
- 04
- Chapters
- 04
- Weird ones
- 02
- Busted myths
AT A GLANCE · 03 KEY NUMBERS
CHAPTER A · 06 LAWS
Buying things
Your rights when you buy in shops, online and on the doorstep.
Consumer Rights Act
Goods must be of satisfactory quality, fit for purpose and as described. Services must be done with reasonable care and skill.
What it means for youReject faulty goods within 30 days for a full refund. Quote the Consumer Rights Act 2015 when you ask.
In practice
- 30 days to reject faulty goods for a full refund.
- After that, the trader gets one chance to repair or replace.
- Faults that appear in the first 6 months are presumed to have been there from the start.
Consumer Contracts Regulations
Online, phone and doorstep purchases come with a 14-day cooling-off period, even if nothing is wrong.
What it means for youTell the seller you're cancelling within 14 days of delivery. You may have to pay return postage.
In practice
- The 14 days start the day after you receive the goods.
- The seller must refund within 14 days of getting the item back.
- Exceptions include personalised items, perishables and unsealed hygiene products.
Changing your mind in a shop
If you buy something in person and it isn't faulty, you have no legal right to return it.
What it means for youCheck the shop's returns policy before you buy. If it offers returns, it has to honour its own policy.
In practice
- Many shops offer goodwill returns, but these are their own policy.
- Online purchases are different: you usually get 14 days to cancel.
- Gift receipts let the recipient use the shop's returns policy.
Price mistakes
A shop doesn't have to sell you something at a wrongly displayed price, but misleading pricing is illegal.
What it means for youIf you think a price display is misleading, report it to Trading Standards through Citizens Advice.
In practice
- A price tag is an 'invitation to treat', not a binding offer.
- Once the shop accepts your payment, the contract is usually formed.
- Fake 'was' prices and hidden fees break consumer protection law.
Deliveries
Goods are the seller's responsibility until they reach you. If no date is agreed, they must arrive within 30 days.
What it means for youIf the seller left a parcel somewhere unsafe and it's stolen, they're responsible, not you.
In practice
- If a parcel goes missing in transit, claim from the seller, not the courier.
- If a delivery date was essential and missed, you can cancel for a refund.
- This changes only if you chose your own courier.
Unsolicited goods
If a business sends you goods you never ordered and demands payment, you don't have to pay and can keep them.
What it means for youDon't pay for things you never ordered. Demanding payment for them is an offence.
In practice
- Demanding payment for unsolicited goods is a banned unfair practice.
- This doesn't cover genuine mistakes, such as a parcel meant for a neighbour.
- Report persistent senders to Trading Standards.
CHAPTER B · 03 LAWS
Paying, credit & debt
Protection when you pay, borrow or fall behind.
Section 75, Consumer Credit Act
Pay by credit card for something costing £100 to £30,000 and the card company is equally liable if it goes wrong.
What it means for youPut at least part of a big purchase on a credit card. Even £1 on the card covers the whole price.
In practice
- Works even if you only paid part (e.g. the deposit) on the card.
- Debit cards don't have Section 75, but 'chargeback' may help.
Digital Markets, Competition and Consumers Act
Bans fake reviews and 'drip pricing', and gives the regulator power to fine firms directly.
What it means for youThe price you see must include unavoidable fees. Subscriptions must be easy to cancel.
In practice
- Fines of up to 10% of global turnover for breaking consumer law.
- New rules make subscriptions easier to cancel.
- Hidden mandatory fees must be shown in the headline price.
Breathing Space
People in problem debt can get 60 days' protection from creditors while they get advice.
What it means for youContact a free debt adviser like StepChange or Citizens Advice to apply. Interest and charges are frozen.
In practice
- Apply through a debt adviser, who must refer you.
- During it, most interest, charges and enforcement are frozen.
- A mental health crisis breathing space lasts as long as your treatment, plus 30 days.
CHAPTER C · 02 LAWS
Travel
Delays, cancellations and holidays that go wrong.
Flight delays (UK261)
If your flight from the UK, or on a UK or EU airline into the UK, arrives over 3 hours late, you may get fixed compensation.
What it means for youClaim directly from the airline. You don't need a claims company that takes a cut.
In practice
- No compensation if the delay was caused by 'extraordinary circumstances' like bad weather.
- Airlines must also give food, drink and accommodation during long delays.
- Claim from the airline first, then use an approved dispute body.
Package holidays
If you book a package, the organiser is responsible for every part of it, and your money is protected if it goes bust.
What it means for youLook for ATOL protection when you book flights and a hotel together.
In practice
- Packages include flights plus hotel, or other combinations booked together.
- If things aren't as promised, the organiser must sort it or compensate you.
- ATOL protects flight packages; check for the certificate when you book.
CHAPTER D · 03 LAWS
Complaints & claims
How to escalate a complaint and when it's too late.
Financial Ombudsman Service
A free service that settles complaints about banks, insurers, lenders and other financial firms.
What it means for youComplain to the firm first. If it says no, or 8 weeks pass, go to the ombudsman for free.
In practice
- Complain to the firm first; it has 8 weeks to respond.
- You then have 6 months to take it to the ombudsman.
- Its decisions are binding on the firm if you accept them.
Small claims court
You can claim up to £10,000 yourself in the County Court's small claims track, usually without a lawyer.
What it means for youSend a 'letter before action' first. Claim online with Money Claim Online, with fees from £35.
In practice
- Most money claims can be started online.
- Court fees depend on the amount and are usually added to what you claim.
- Each side usually pays its own legal costs, which keeps the risk low.
Time limits for claims
Most legal claims must be started within a fixed time, or you lose the right to sue.
What it means for you6 years for most contract claims, 3 years for personal injury. Don't sit on a problem.
In practice
- Contract and most negligence claims: 6 years.
- Personal injury: 3 years from the injury or when you knew about it.
- Old debts can become unenforceable after 6 years without payment or acknowledgement.
NOTES
Did you know?
NOTE 01A shop doesn't have to sell you something at the wrong price on the label. A price tag is an 'invitation to treat', not an offer (Pharmaceutical Society v Boots, 1953).
NOTE 02'Legal tender' has a very narrow meaning about paying debts in court. A shop can refuse cash, cards or any payment it likes.
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