Store credits instead of partial refund - what are my rights?

This post is linked to my recent Zinus bed-in-a box post. Having contacted the vendor Amazon (that sounds much simpler than it was) I agreed to keep the bed and receive a refund of 10% of the purchase price. The customer service person asked if I wanted the amount as Gift Card credits (same as store credit I believe). I declined and asked for funds to Paypal, the payment method. She agreed and said she had done that and I would soon receive a confirmation email. I didn’t, so went through the whole process again. This customer service person said that they only had the ability to refund to Gift Card credits. I asked about my previous conversation - he sent me an excerpt - the rep had tried to credit paypal but wasn’t able to.
I object, on principal, to my money being held hostage by a store. But what are my rights?

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They are enumerated in the ACCC documentation.

Refunds should be provided in the same form as the original payment, unless the business and consumer agree otherwise.

That being what should happen some businesses do not have payment systems that can always do that, or so they might claim. There also could be a difference in how their systems work for a full or partial refund but that should not be your problem.

First suggestion is to ask about the gift card option. If it is a generic Visa or Mastercard gift card it might not be your preferred refund method but would get it done and would effectively be cash in hand save for possible payment surcharges when used somewhere. If it is a store gift card it is clearly not in keeping with their responsibilities.

You might send them ‘chapter and verse’ of the ACCC documentation and if they cannot comply, advise them you will be making a formal complaint to your Fair Trading (ACCC representative), and to Amazon.

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Thank you Phil. I’m having trouble working out what the gift card is - seems to be just store credit - I can see the available balance and need to enter a code to redeem it - but I don’t yet have a code. Will get back onto them (sigh) and see what the deal is…

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Zinus beds on Amazon are sold by Zinus. I would be checking to make sure the store credit wasn’t with Zinus, because if it is, it might not be worth that much especially if you have no plans to buy another product through them.

Under the ACL, the mattress would be classed as being not ‘fit for purpose’. This is because it is shorter than it should be. Being shorter, fitted sheets are unlikely to fit properly causing excessive loose sheet where one sleeps. Might not be a comfortable proposition. This could be reduced using a mattress protector or flat bottom sheet (which is an additional cost to you). One has to consider whether 10% refund is potentially worth having a mattress one regrets accepting in the long term.

Under the ACL, you would be within your rights to get a full refund or replacement, and for the seller to collect the mattress.

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This store not only supplied an item which does not match the advertised size and that is a ‘major statutory breach’ for which a Full Refund should have been made, but are now also messing around with the method of the partial refund.

You have rightly asked that the same method of payment be used and was told: ‘have done that, will be confirmed shortly..’ Clearly it had not been done. Now they tell you they ‘only issue gift card credits’. This is another breach of the Act.

It is reasonable that if it was ok to debit from an account it is also possible to credit to it.

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I agree @Gaby. Zinus also has a big win as they are able to get a customer to accept unsatisfactory product, all for a 10% store credit (which potentially may never be used). A easy and cheap solution for them, at the expense of a customer. I personally wouldn’t accept 10% refund and accept the mattress as is.

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Yes. I do believe they should be nominated for Choice ‘Shonky Awards’ :wink:

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Although many of us might not be so amenable it is possible @clrintas is happy enough with a slightly short mattress and thus agreed to the discount rather than a return.

OTOH if Zinus talked @clrintas out of a return and refund that is another issue worthy of reconsidering what was accepted, and including in a complaint as possible misrepresentation of rights.

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Thank you all for your kind replies. Zinus does not handle refunds and returns and the store credit is on my Amazon account. I think it would have cost them a packet if I had insisted on returning it for full refund. The mattress weighs 32kg, I have no way of wrapping it and live in a semi-rural location, so a carrier from 150km away would have to pick it up. Anyway, there’s been a development - I ran the gauntlet of customer service again today and told the rep I wanted to escalate the matter as I wasn’t happy with store card. The rep checked previous chat transcripts and then offered to refund the full price back to my payment method. No return of the mattress was mentioned and the usual process is refund on return. He said to allow 7 days for the amount to be credited. Call me an old cynic, but I’m not holding my breath. Astonishing - 3 different responses from 3 interactions.

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Under the Australian Consumer Law (ACL), for bulky items like a mattress, the item’s transport costs are to be met by the retailer/seller. If the item is subsequently found not to have a fault covered under the ACL, then the consumer is responsible to pay the retailer the cost of the transport. Amazon may just be accepting that the cost to return the mattress is too high to bother.

Just to make sure, don’t dispose of the mattress if they don’t pick it up immediately. Until they confirm (and it should be in writing) that they do not wish to collect it, you have a duty to keep it safe and in good condition. This responsibility can last a very long time.

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I agree with @grahroll.

One shouldn’t also worry on how it impacts on a seller. The reason being, especially evident in your case, the seller was happy to sell you a defective product. It is likely the shorter mattress isn’t a one off like that which can occur with other product faults (and as shown in another thread about similar issue Ecosa is having with their mattresses). Zinus are likely to have known of the issue when selling them. They took on the risk and are fully responsible.

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Received an email today confirming full refund. Am happy with outcome but remain confused by the process. Thank you all for support, useful info and advice. It is very much appreciated.

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Great news! Well done for your persistence! :clap:

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Amazon as a company do not offer PayPal as a payment option. You may have paid the actual vendor who is using the Amazon platform to display his offerings with PayPal. I read it that the 10% from Amazon is more a gesture of good faith.