Consumer Watch with Kevin Collard: What to know about customer rights to ensure you get what you paid for

From tradies to online retailers and even the small business someone in your community runs — they are all bound by Australian Consumer Law and must ensure their customers get what they paid for. This means businesses must not accept payment for goods or services if they do not intend to supply them, if they intend to supply materially different goods or services, or if they knew (or should have known) they would not be able to supply the goods or services in a timely manner. In the past 12 months, Consumer Protection has received 25 complaints about tradespeople requesting deposits or payment in full and then not delivering the service. When it comes to online retailers, the statistics tell a bleaker story. In the past 12 months there have been more than 140 complaints made about online retailers not delivering what consumers have paid for. More than 100 of those complaints have occurred within this year. When shopping online try and use reputable, well-known websites. For smaller or lesser-known retailers ensure there are contact details on the website and spend some time checking online reviews. Once you place an order, confirm the delivery time frame and keep a record of your transaction. Be sure to check the seller’s policies on returns, refunds, shipping, and warranties, especially for international sellers. When it comes to payment, consider using a secure system like PayPal to access dispute resolution services if needed. If paying by credit card and you don’t receive your order, request a chargeback. And never send money by ‘wire transfer’ as this is a favourite trick of scammers. This is also good advice when it comes to tradies — paying by credit card is a good option as it provides the protection of potentially getting a chargeback if the goods or services aren’t delivered. When it comes to deposits, tradespeople are legally allowed to ask for them. However, a common issue reported to Consumer Protection is traders who demand large deposits — or even full payment upfront — then fail to complete the agreed work, leaving consumers both out of pocket and without the work done. Paying upfront for goods or services puts consumers at risk if the business fails to deliver or goes broke. That’s why Consumer Protection recommends only paying smaller deposits of about 10 per cent to limit that risk and to have greater bargaining power if something goes wrong. For larger jobs, it’s recommended to pay in instalments as stages of the work are finished. If the work is unsolicited, a business will be breaking consumer law if they don’t observe a 10-business day cooling off period before starting the job and collecting payment. For example, if a tradie is at your house fixing a broken tap, then they notice your hot water system needs replacing and they quote the job. You have 10 days to change your mind about this portion of the work without being financially penalised. If a trader was to cancel a contract after a deposit had been taken and no work had been performed or goods supplied, the trader is obliged to return the full deposit. In Western Australia, tradespeople are not allowed to accept a deposit of more than 6.5 per cent of the contract value for residential building work valued at $7500 or more. Of course, there can be issues that are outside of a business’s control, which they didn’t know about when the consumer purchased the product or service. This could include problems such as the weather, postal delays or third party supply problems. In these cases, you should give the business the chance to provide a solution, which could include a refund or a replacement. Consumers who do not receive the goods or services they’ve paid for are urged to lodge a complaint on the Consumer Protection website – consumerprotection.wa.gov.au. Enquiries can be made by emailing consumer@demirs.wa.gov.au or calling 1300 30 40 54. Kevin Collard is a senior regional officer for Consumer Protection