Do I have to accept a credit note?

When consumers are offered a credit note upon returning goods to a shop, most feel confused whether they should accept it or not. This confusion often stems from lack of information about what our consumer rights and obligations are when we return items.

A credit note is either more than what we are legally entitled to, or less

Are we entitled to more than just a credit note? Or is a credit note a fair solution to our problem?

Basically, a credit note is either more than what we are legally entitled to, or less. It all depends on why we are returning the goods.

If the goods are faulty, then legally we may be entitled to a refund, if it is not possible to repair or replace the item. So in such circumstances, being offered and accepting a credit note is less than what we are legally entitled to.

If on the other hand there is nothing wrong with the goods purchased, and we want to return them because we realised we have made a wrong buying decision, then a credit note is more than we are entitled to because the law does not protect us in such situations.

Fortunately, most retailers are willing to exchange or offer credit notes even when there is nothing wrong with the goods returned. However, this solution is usually only possible provided we present the proof of purchase and meet the shop’s terms and conditions.

We should bear in mind that there are various types of credit notes and they may have various terms and conditions attached to them. For instance, most credit notes have to be used within a specific time limit. This time limit could be as long as 12 months or as short as 30 days.

Another condition could be that the credit note cannot be used on ‘sale’ items. So before going to a shop intending to use a credit note on ‘sale’ products we should first carefully check whether there is any condition on the credit note that excludes such use. If there is no such condition, then we have all the right to use the credit note whenever we want and on any kind of product we want.

We should be informed about any restrictions regarding the use of a credit note when it is given to us, not when we try to use it.

Ideally the terms and conditions on how to use the credit note should be written on the credit note itself. This way, any misunderstandings and doubts would be avoided.

Care should also be taken not to lose the credit note because if this happens we do not have any legal rights.

If a credit note is offered to us when returning faulty goods, and such a solution is okay with us, we should at least make sure that the credit note does not have any restrictions on its use. If the shop tries to restrict its use, we should discuss this with the seller there and then.

Once we accept the credit note as a solution, then we cannot change our mind and ask for a different remedy. Also, before accepting a credit note we should make sure the trader has goods that we need and want to buy.

consumer@timesofmalta.com

odette.vella@gov.net.mt

Ms Vella is senior information officer, Office for Consumer Affairs, Malta Competition and Consumer Affairs Authority.