There’s growing interest in the Internet as a place to shop. But this type of shopping has its own dangers, and the rules of smart shopping are as important in the electronic marketplace as they are on your doorstep.
One problem is that consumers have little control over what happens to personal information used when shopping online. Each transaction leaves an information trail that can be used by hackers and other unauthorized individuals to assemble financial and personal profiles on you. This information can be sold and used for criminal purposes. You have every right to feel vulnerable when your credit card number and other financial information go sailing into cyberspace.
Quick Tips
- Don’t fall for offers that sound too good to be true — they often are.
- Don’t respond to spam — unsolicited e-mail offers.
- Avoid getting hooked by offers for samples with purchases and other “freebies” – they are meant to reel in the unsuspecting.
- Know whom you’re dealing with. The company’s website should provide basic information (i.e. the seller’s name, business address and phone number).
- Check the reputation of the business before buying – be careful because it may pocket your money and not deliver on its promises. If you’ve never dealt with the company before, ask friends or family if they have.
- Know what you’re paying for. Appropriate product information should be provided (i.e. information on size, materials or colour options, certificates or seals of approval and warranties or guarantees).
- Avoid “get-rich-quick” schemes. Don’t believe bogus investment schemes and loan opportunities.
- Consider the full cost of the purchase: all applicable taxes, shipping and handling charges, duty, and currency conversions should be factored in.
- Always read the fine print on your contract. The terms and conditions of the agreement and refund or exchange policies should be clearly stated.
- Print or save all contracts and receipts for your protection.
- Avoid purchases where there is no contract detailing your rights and responsibilities along with the company’s.
- If you are purchasing goods internationally, make sure the product meets Canadian safety standards.
- Companies located far away may charge high shipping costs on returned items and it may be costly to pursue legal remedies if a problem arises.
- Decide on the appropriate form of payment. It’s a good idea to wait until you have received your goods or service before making any payments, if possible.
- Ensure that your credit card number and personal financial information are being sent over a secure and protected website and server. Responsible businesses usually advertise this fact.
- Ensure that appropriate complaint handling procedures are in place. Information such as knowing where, how and to whom you may direct any complaints should be clearly stated on the company’s website.
Your Rights
- Consumer agreements must disclose all details. If a company isn’t delivering on the contract, or if you encounter an aspect that wasn’t disclosed but was required to be by law as part of the deal (e.g. an unexpected annual renewal fee), you have the right to cancel within one year. In addition, vague language is discouraged in contracts. All required information must be clear, prominent and easy-to-understand. If there is a dispute over unclear language, the law requires that it be interpreted in favour of the consumer.
- Deliveries must be made on time. If the company does not make delivery or begin performing its obligations within 30 days of the date stated in the agreement, you can cancel it at any time before delivery or start of service. You lose the right to cancel if you agree to accept delivery or allow the company to perform its obligations after the 30-day period has expired. If the agreement does not state a date, the 30 days run from the date the agreement was entered into. Again, you lose that right if you accept delivery or permit the company to start services after the 30 days.
- You are protected against unfair practices, such as deceptive promotion and sales pitches. If an unfair practice has occurred, you have a year to rescind the agreement. It is best to send a registered letter, fax or e-mail as proof of cancellation. If that doesn’t produce results, see our Need Help section.
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