Restocking Fee? Call It Retail Thievery
Yesterday I purchased a portable dvd player at Circuit City. After the ensuing experience, I intend to shop elsewhere in the future.
When I got the item home, it was a chore to extract it from the thick clamshell casing. A razor blade was needed, and of course there was no way to extricate the player without completely destroying the packaging. Finally it was out of the box, and happily all of my fingers were still intact. It was time to play. I plugged it in and turned it on. The picture was great. However the sound was terrible. It could not be heard from more than two feet away, even at highest volume. I thought that surely there would be adjustments to remedy this issue. But after thoroughly studying the manual and trying all of the buttons, I decided the player would be unusable. So I re-wrapped it as best as possible, considering the container was sliced to shreds, and took it back to my friendly neighborhood Circuit City. This was within an hour of purchase, and this was when things got interesting.
The young lady at the return desk was surly. And after the upcoming experience, I can understand why. She asked me why I was returning the item, and I explained the terrible audio quality that rendered it unusable, even with earphones. She was accepting, and continued to type information into the computer. Then, with her scowly face and monotone, she casually mentioned there would be a 15% restocking fee. I asked why, since I was returning a defective item. She simply said it was "corporate policy", a despised phrase I heard often repeated in the next hour, and pointed to a poster above the desk of various and almost unreadable lawyerly jargon. I told her "No. I am not paying a restocking fee. Absolutely no." With irritation, she informed me she would have to get the manager. That was fine with me.
He came along, a busy man, and asked what was happening. She told her story, and I told mine. "Corporate policy", he said. "But you have sold me a piece of merchandise that is defecive through no fault of my own", I replied. "I'm sorry, sir. But I can't do anything about it. It's store policy."
By then, I was highly irritated. I felt I was being robbed by a big business that did not care about me. I told him a "restocking fee" was most inappropriate for an item that had a manufacturing flaw and surely would not be restocked. I mean, knowing the dvd player would not perform properly, surely a caring business would not rewrap it and sell it to an unsuspecting customer who would pay hard-earned money for it? "Corporate policy", he said. Exasperated, I looked over and saw several customers milling around. "Sir, I said loudly, you had best be careful about buying items from this store. If they have a manufacturing defect, these people will charge you to return the items." Then I called over to another person in line, "These people want to charge you to return their defective merchandise..."
The manager looked at me, then looked at the sour cashier, and said, "Give him his money and get him out of here." Full refund.
"Restocking fee" is a phrase meaning, "We as a business are quite comfortable stealing your money. We are ready and willing to profit from any pain and inconvenience we may inflict upon you. For you, the customer, we do not care." Circuit City, and businesses of similar ilk who mistreat their customers, will eventually pay dearly for such arrogance.
I learned, later, that Radio Shack and Walmart do not charge a restocking fee.
03.06.07 (10:23 am) [
edit]
posted by:
doeeyed (
reply)
post date:
03.06.07 (7:45 am)
Good for you!
Now...
Since it's a corporate policy, I believe you should let corporate know how you feel about it! I certainly would. That's ridiculous!!!
I feel for the folks who don't have the nerve to stand up to them as you did.
posted by:
surrogate (
reply)
post date:
03.06.07 (7:48 am)
I have no problem with a store charging such a fee, if, for instance you've kept the thing beyond their normal return date parameters and they're making an exception for the customer, or if it's been a specially ordered item they wouldn't normally stock at all... I've NEVER heard of a store charging a restocking fee for an item the very same day it was purchased, especially if it's defective.
I wouldn't let it go just because you had the stones to embarrass 'em into bending to your will yesterday. If this is truly the corporate policy of Circuit City, I say we shout it loud till they change the policy or are out of business.
By the way, I do know that it must be a very recent policy change. I returned a camera I bought there just before Christmas because I found a better deal elsewhere, and without a hassle. -Probably a new C.E.O. or worse, they hired a new consulting firm.
posted by:
bawdy (
reply)
post date:
03.06.07 (11:51 am)
My girlfriend bought me a 3 month subscription to an on-line gaming site named Gametap, and I couldn't get their software to work on my computer. I'm steamed because they have a no reimbursement policy on gift subscriptions apparently. So I feel your pain. I've never heard of a restocking fee. How ludicrous. Let the buyer beware.
posted by:
(
reply)
post date:
03.06.07 (12:28 pm)
Could I get you to make some returns for me?
posted by:
ruined (
reply)
post date:
03.06.07 (2:17 pm)
I like your style. The next time I am kicked in the aft-fin by corporate policy, I'm going to have to use your technique. It sounds highly effective!
posted by:
intricategirl (
reply)
post date:
03.06.07 (4:04 pm)
I've gotten money out of a car manufacturer, package delivery service, baby food company, and a toy company- all well known brands. And those are just a few examples. Here are some tips for you.
Send an email to Circuit City. You should also cc a copy to the company that manufactures the DVD player, or tell Circuit City you are going to. Your letter should be clear, precise, and above all, fair. In fact, make every attempt to see it their way. Below is a sample letter, but you will need to make changes to it as necessary and put it in your own words. If you decide to do this, let me know how it turns out. You should not expect it, but usually when I do something like this, I get a gift certificate.
"Hello. I am writing you because I recently had a negative experience in a Circuit City store. I purchased a portable DVD player on XX/XX/07, and after getting it home, I realized that the volume was broken, and I would not be able to hear it easily. I repackaged it, and drove to the Circuit City at INSERTADDRESSORCITYHERE once again. As I tried to return this defective merchandise, the cashier, INSERTNAMEIFAVAILABLE, informed me that there would be a 15% restocking fee. When I questioned why, she gave me a terse answer that it was "corporate policy" and called over a manager. The manager had the same tone. I do not understand how there can be a restocking fee on defective merchandise, because surely your company would not place items that it knows to be defective back on the shelves to sell to someone else. I consider selling known-defective items as good to be fraud, as would any reasonable buyer. Finally, the manager refunded the entire purchase price, but not until after wasting a great deal of my time and convincing several other customers to shop elsewhere.
I am sending a copy of this email to the company that manufactured the portable DVD player, because they deserve to know the way their company is being represented in the store. Instead of assuming that it was simply one faulty player and encouraging me to try a different one, the store was all too happy to boost their sales by charging a restocking fee on an item that should never have been restocked. And if they did restock it, the next customer would have bought a faulty player. This causes an unrealistic number of complaints against a brand, and creates bad word of mouth.
I am writing to you in the hopes that you will fix this problem. While I have not had a bad experience in your stores before, this is enough to keep me from shopping there until I see changes in the way your store is enforcing your company's policy. I understand the need for the policy, but I believe that this store is using it as an excuse to make their numbers appear better. I would rather shop at a store that can provide good customer service and still meet their corporate goals.
Sincerely,
YOURNAMEHERE
posted by:
lisa (
reply)
post date:
03.06.07 (5:12 pm)
big companys ARE ridiculous. but, they only have as much power as we give them. bravo for you!
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:21 pm)
Reply to: doeeyed
Immediately after leaving the store, I searched the receipt for a phone number to corporate headquarters. Nothing was printed. So I called the store and asked for the number, and they cheerfully gave it to me. I called, and got some complaint administrator. He simply told me the management acted properly, according to policy. He told me that all other big box stores have the same policy. I know that is not true, and told him. I asked what he would do with my complaint. He said he would make note of it, but there would be no policy change. I replied that he has confirmed my conviction that Circuit City truly does not care about justice or proper treatment of its customers.
I do like the suggestions of Intricate Girl, and will follow through.
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:22 pm)
Reply to: surrogate
I've done some checking on the internet, and apparently such has been the policy since at least 2005. But, some states have outlawed such policy. Perhaps yours is one of those states. If so, good for your state legislature to take care of the little guy.
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:25 pm)
Reply to: bawdy
My son uses some of the online gaming sites, and uses my credit card to pay- he reimburses me. I caught one of the companies doing an automatic renewal. When I called, they readily refunded my money. Seems there is always someone quite willing to rip you off!
By the way, would you be interested in some property I have for sale in Florida?
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:26 pm)
Reply to: ruined
It's effective because of the embarassment factor. Unfortunately, it is embarassing to everyone. I was pumped, and so was willing to undergo such consequences. Normally such would not be the case.
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:27 pm)
Reply to: intricategirl
You are very kind to pass this along. I'm going to do it! I'll keep you informed with the response I may or may not get. Thanks.
posted by:
PastorDave (
reply)
post date:
03.06.07 (6:29 pm)
Reply to: lisa
You are right. We have far too many choices out there to allow any business to abuse us. I can easily go the rest of my life without shopping at Circuit City.
posted by:
FinalyFree (
reply)
post date:
03.06.07 (6:42 pm)
I've never heard of a 'restocking' fee, period. I agree with Surrogate, under certain circumstances, but when the item is defective. Sheesh you'd think they'd fork the money over to you quick and happy in hopes that you'd buy some other brand from 'their' store!
posted by:
seochris (
reply)
post date:
03.06.07 (8:40 pm)
You are a bold and tough customer. Hope I learn something from u on this matter
posted by:
bawdy (
reply)
post date:
03.07.07 (12:11 pm)
Reply to: PastorDave
Land in Florida? Sure. Let's finish the paperwork on our Brooklyn Bridge transaction first though.
posted by:
LadyG (
reply)
post date:
03.07.07 (9:44 pm)
I am glad that you stood up to them PD.
That was a wonderful letter to send from intricategirl, I hope you use it.
posted by:
spook102956 (
reply)
post date:
03.07.07 (9:52 pm)
That is awful. Remind to never shop at Circuit City. I like how you handled it. I too do not like having to handle things that way, but the way they treated you and with the ridiculous "policy", they had it coming. It reminds me when my mom was having symptoms of pancreatic cancer, but no one could diagnose her and she basically was treated like an idiot, her main physician's office kept telling her she'd have to wait for 3 weeks to get a test result--until her next appointment because it was "office policy". I'm an RN(and do not like using that as leverage when dealing with medical stuff--I usually try to keep that fact hidden). But my mom had horrible pain, was losing weight, etc and no one was doing anything b/c nothing was showing up on the umpteen tests she had had done. Pancreatic cancer is called the hidden cancer, but that's another topic. Anyway, it was horrible how my mom and our family was treated b/c nothing would show up on the tests (so they thought she was crazy--we went to a major diagnostic hospital and she came away with a psychiatric diagnosis--makes me mad even today and she's been deceased 15 years). Anyway, by the time the doctor's office once again treated us awful and wouldn't give us her result, I heard "office policy" once too many times. I wound up screaming at the doctor and said, "Sometimes you have to look past the policy and see the people." Your story made me think and remember that.
posted by:
intricategirl (
reply)
post date:
03.08.07 (6:54 am)
The plot thickens. I checked out Circuit City's return policy. Let me quote from their site.
"Digital cameras, camcorders, desktop PCs, notebook PCs, monitors, printers, scanners, projectors, PDAs, mobile video, GPS and radar detectors must be returned within 14 days of the sale date, and (except where prohibited by law) are subject to a 15% restocking fee if returned opened or in a non-factory sealed box."
Nowhere does it say "portable DVD player" or "DVD player". In other words, they lied to you. Add this little fact to the letter, and throw in the word "fraud" one more time, and they are going to be VERY apologetic.
posted by:
PastorDave (
reply)
post date:
03.08.07 (7:14 am)
Reply to: intricategirl
Wow. You have a bit of a tenacious nature about you, I see. I like it. I'll be moving forward with this as time permits, perhaps Friday. And should I acquire part ownership of Circuit City, I will handsomely reward you. Thanks.
posted by:
intricategirl (
reply)
post date:
03.08.07 (7:41 am)
The plot thickens. I checked out Circuit City's return policy. Let me quote from their site.
"Digital cameras, camcorders, desktop PCs, notebook PCs, monitors, printers, scanners, projectors, PDAs, mobile video, GPS and radar detectors must be returned within 14 days of the sale date, and (except where prohibited by law) are subject to a 15% restocking fee if returned opened or in a non-factory sealed box."
Nowhere does it say "portable DVD player" or "DVD player". In other words, they lied to you. Add this little fact to the letter, and throw in the word "fraud" one more time, and they are going to be VERY apologetic.
posted by:
danielmacdonald (
reply)
post date:
03.08.07 (12:21 pm)
YEA PASTER!!! YOUR THE MAN!! STICK TO THEM.
posted by:
spook102956 (
reply)
post date:
03.08.07 (4:43 pm)
This is kind of a reply to intricategirl. Yes, that will help Pastor Dave to be able to say that a DVD is not listed with other items that are said to require a restocking fee. But also he was returning it because it was defective. It's not like he bought and then just decided he didn't want it.
posted by:
weasy (
reply)
post date:
03.09.07 (11:42 am)
corporate policy usually means no exceptions! this sounds like a store policy....where the store bares its 15% fangs and expects the customer to meekly move on...there are so many mild mannered people who avoid confrontation and will take the refund minus any and all fees regardless of the situation....i have had similar confrontations, and i always get my full refund back....best way to repay the store is to not shop there anymore, take your business across the street where they genuinely want to service your needs.....
posted by:
inkspector (
reply)
post date:
03.09.07 (4:15 pm)
Yes, and add in your letter you have posted this situation in your blog, they hate that kind of negative publicity.
OverStock(dot)com has a restocking fee ONLY if the product is defective. If it does not fit, or you don't like it, you have to pay.
It is ridiculus to pay a restocking fee when the product is defective.
posted by:
intricategirl (
reply)
post date:
03.12.07 (11:13 am)
Reply to: chsbandnerd15
Yeah, I already covered that above. From a business ethics standpoint, they should definitely not be charging a restocking fee for defective merchandise. But apart from that, they aren't even following their own corporate policies. They can always try claiming that this brand is just quiet, or that PastorDave's hearing is slipping, and the merchandise isn't defective. But their own corporate policy STILL doesn't allow them to charge a restocking fee for this. It's important enough to point out in a letter, because it helps support his case to them.
posted by:
fractalmom (
reply)
post date:
03.16.07 (3:47 pm)
the other side of the story. my oldest daughter bought me my laptop for my birthday at circuit city in robinson, pa. She went into the store and asked for the model that was featured in the ad. the salesperson said they were out of it, but they had one similar, for only $50 more (bait and switch). she said okay. they showed her the toshiba, and explained that it had a $150 rebate which would bring the sticker price to only $50 more than the 499 model she had been inquiring about. so she said okay. went up and paid 699 for the computer. they went to run the rebate through, and it wouldn't go through. The manager was called and he promised to send her the paperwork. She said fine and left. the manager came out running to the car and asked her to go back in. she was a little leary. once back in the manager explained that the model she had been sold was NOT 699, but 899. before she could say anything further, he said "and also, there is no rebate on that model, but since we told you there was,"... he rang up the cash register and handed her $150 cash. so my daughter ended up paying 550 for a 900 dollar laptop and i got one lulu of a birthday present. all from an honest and truthful manager of a circuit city.
posted by:
C (
reply)
post date:
04.18.07 (8:41 am)
As much as I feel your pain, you returned an item and did not exchange it for another one. If you would have either taken another item or applied the cost to the purchase of a different item you would have not taken a hit. While the product was defective, you most likely payed with a credit card and that costs a retailer money. Credit card companies DO NOT REFUND THEIR FEES if you return an item. I sold a $15,000 item the other day and the customer returned it because the person who they bought it for didn't like it. Guess what, that cost my company over $500. Does it seem fair that a person gets to make my company lose $500 because they don't have a good gift purchasing sense? And that's just for the fees. What about the time I spent helping the customer? Is that worth something? As a consumer, you have as much of a responsibility to make a wise purchase as they have to provide a good product. I suspect that next time you will do a better job of it.
posted by:
PastorDave (
reply)
post date:
04.23.07 (10:14 am)
Reply to: C
I did use a credit card.
The problem could have been avoided before the points of purchase and return. I had an interest in the item, but it was encased in a heavy plastic clam-shell. I asked if there was a display model available. No there was not. But I was assured if there were any problems, I could return the item. That was a promise from the mouth of an ernest-sounding store rep. Not in writing, granted. And, when returning the item, the disinterested person behind the register never asked if I wanted to do an exchange. Maybe I would have, another item would have been presented to me and the effort would have been expended to sell it to me. No, just a disinterested statement that I would pay a 15% restocking fee, as if such was of course normal and expected.
I've bought several electronic items since, but none at Circuit City. Although not a prophet, I'm predicting hard times ahead for CC, and for any franchise that disregards the customers in such a way.
posted by:
Rodger (
reply)
post date:
05.21.07 (11:08 am)
I Used to love CC because of the way they treated me as a customer, they I need no reciept they have all info in the computer unlike BestBuy. CC will refund you on defected products. But I guess you can't buy good help anymore.
Good for you for taking a stand!
