No refunds for you! Online shoppers are sometimes fooled into believing that their rights to a refund or service on faulty goods do not apply. Fine print disclaimers and misleading terms and conditions can be very convincing for the novice internet shopper.
For the next 48 hours, thousands of websites will be scrutinised by 61 consumer protection agencies from over 20 countries in a worldwide sweep for online traders illegally misleading shoppers.
"Hidden traps online are the official target for the 2006 International Consumer Protection and Enforcement Network's Internet Sweep", Australian Competition and Consumer Commission, Deputy Chair, Ms Louise Sylvan said.
"Sweep participants, including 10 Australian agencies, will zoom in on the fine print to uncover websites misrepresenting basic consumer rights.
"In 2006 this joint operation, coordinated and led by the ACCC, aims to catch sly businesses using online terms and conditions to exclude statutory rights, add hidden charges at the point of sale and allow sneaky downloads as part of the conditions of sale.
"For example an online trader may offer a special warranty clause instead of all other warranties, or claim they are not liable for the performance or quality of the goods they sell. In Australia, this is contrary to the Trade Practices Act 1974, as certain implied rights always exist and cannot be excluded, restricted or modified.
"Australian based traders will have no excuses after previously being advised of their obligations following the release of the ACCC survey paper - Shopping Online: Survey of the top 1000 Australian consumer websites".
The ACCC warned Australian businesses after the June 2004 survey report showed that of the 265 sites which contained terms and conditions more than half attempted to deny or restrict consumers' warranty rights or limit liability.
Ms Sylvan said sweepers will have their sights set on websites offering goods or services (transactional sites), with agencies paying special attention to high traffic internet traders including those offering ring tones and other mobile phone extras, online car sales, tickets and jewellery as well as businesses operating from internet auction sites.
The annual internet sweep also forms part of the ICPEN's global Consumer Fraud Prevention Month which concentrates on stemming the tide of fraudulent and deceptive scams and claims emerging on the internet.
"Millions of dollars are lost worldwide to scams. In Australia we have formed the Australasian Consumer Fraud Taskforce to help put a stop to income being made from fraudulent activities. The internet sweep will be complementing the work of the Taskforce.
To avoid unwelcome surprises consumers can follow these simple tips for a more pleasurable internet shopping experience:
- know who you are dealing with – check that telephone numbers and contact details are true. Avoid traders who don't tell you who and where they are
- read the description of the product carefully – check the size, colour, value and safety of the product
- read all the fine print including refund and complaints handling policies
- note the final cost – check the currency, postage and handling and other charges
- confirm the final cost before paying
- print and keep a copy of each stage of the transaction
- pay safely – only use a secure site and pay by credit card or similar
- avoid money transfers and direct debit as these are the scammer's favourite tools
- never send bank/credit card details as payment via email, and
- be wary of super cheap bargains and fabulous prices for popular items from traders that may have packed up and moved on taking your money with them.
"Remember the same basic rights apply online as they do offline, when dealing with traders operating in Australia", Ms Sylvan said.