QUESTION
Is it legal for a merchant to refund money to a gift card instead of refunding it back to the credit card that was used, when there is no policy?
Asked on Sep 21st, 2012 on Business Law - South Carolina
More details to this question:
I ordered about $150 of items from a well known online clothing retailer. I used two $50 gift cards and paid for the remaining balance of about $50 with a credit card. I returned about $40 worth of the items purchased and the merchant refunded this amount to a gift card and not back to my credit card. I am now forced by this merchant to accept store credit rather than my credit card refund. I spoke to the company and they stated they do not have any documented policy for this and they chose to do it this way. They refused to help me and would not let me seak to a supervisor. Their website does not support their claims. I recorded the incriminating phone conversation. I think this could possible be a class action suit? I cannot be the other one suffering. Please help.
1 ANSWER
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It is hard to understand how you were harmed by what you describe. You started out with a gift card. You ended up with a gift card. You are have been returned to the same position you occupied prior to having made the purchase and return. I don't think this is a claim that would go very far. Moreover, there is the additional problem that the merchant was under no obligation to accept the items for return -- sales are final, and returns are accepted at a merchant's discretion and such terms as it chooses to impose. Many merchants only accept returns in exchange for store credits precisely because of this principle.
Answered on Sep 21st, 2012 at 11:30 AM