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    • CommentTimeDec 4th 2012 edited
    People are now being denied Returns, even with Valid Receipts.  
    Article: After Best Buy Swipes His Driver's License: No Returns For 90 Days  
    Peter Peel of Middletown thought he had all the twists and turns he needed for at least a day when he bought "The French Connection" Blu-ray disc from Best Buy in early March.  
    Unfortunately, the disc proved defective so, three days later, he brought it back to the Best Buy in Newington. That's when he got the surprise ending.  
    Despite having the receipt, Peel was also asked for his driver's license. (Unlike the "French Connection, however, no one asked if he had ever picked his feet in Poughkeepsie.) After an employee swiped the license, Peel was told the movie-disc return would be accepted but the store would not authorize any other returns or exchanges for 90 days.  
    "I was told that I could not return or exchange any other items, even with a valid receipt," he says, "because of some third-party return activity company. How can this be legal when a consumer clearly has a valid receipt?"  
    It's not only legal, but many other retailers are using The Retail Equation, a California company that verifies return authorizations by tracking consumers' return-exchange behavior at participating stores. It checks the purchase price and whether the consumer had a receipt.  
    Throw in the driver's-license scanning and it strikes a lot of consumers like Peel as invasive, even creepy.  
    "Our system is compliant with all state and federal laws regarding the security and privacy of the information," says Best Buy spokeswoman Kelly Groehler, "and provides far greater security than more traditional retail return practices, such as collecting consumer information on hard-copy return slips or saving consumer information on paper logs."  
    Best Buy adopted the program more than a year ago to reduce fraudulent returns: the big-screen television bought the Friday before the Super Bowl and returned the day after or the video camera purchased before graduation weekend and quickly returned.  
    Best Buy, already beaten down by consumers who use its stores as a showroom before ordering more cheaply online, also must deal with fraudulent receipts, returns of stolen merchandise for cash and price switching. The retailer can't afford to bleed any more money: The company Forbes earlier this year said is moving toward bankruptcy recently announced it would close 50 stores and lay off 400 workers in the United States. And Tuesday, CEO Brian Dunn resigned.  
    The Retail Equation says its Verify-2 software identifies the 1 percent of consumers whose behavior can be identified as return fraud or abuse. The company, whose software is in 20,000 stores throughout the country, says return fraud ranges from $14.3 billion to $18.4 billion each year.  
    "Verify-2 enables retailers to rely on objective, verifiable data," says spokeswoman Lisa Mendenhall, "to determine whether a return is valid rather than relying on subjective observations and guesswork by sales clerks. This objectivity ensures that only those with highly suspect return-and-exchange behavior are affected. The vast majority — approximately 99 percent — of returns are accepted."  
    Peel said he had several returns after Christmas, then a few other returns and exchanges — all with a receipt. That, apparently, was enough to put him on The Retail Equation's most-wanted list and Best Buy's no-returns-or-exchanges-for-90-days list.  

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    • CommentTimeDec 4th 2012
    Rip Off Report: #797619  
    Beware when you buy ANYTHING at Best Buy. They are now using a company (The Retail Equation) that can deny to return a product even though you are still entitled under Best Buy's return policy.  
    I tried to return something yesterday and being a Silver member I have 45 days to return it and I only had the item for about 2 weeks. They refused my return and after speaking with the store manager was told that this is something new they are doing per Best Buy corporate offices and no manager at any stores can over ride this. Many returns are being denied and you are stuck with the item no matter what.  
    Being this the case I see me not buying anything else at Best Buy since most likely will not return it based on this new system they are using. I have spent a lot of money in Best Buy but not anymore.  
    I have found out from other people that their returns have even being denied even on defective products.  
    Keep it up Best Buy and I see you going under like Circuit City did !!!  
    SHAME ON YOU !!!!  

    • CommentTimeDec 4th 2012
    The Retail Equation site:  
    They have a consumer site so you can see your return activity:  
    Their goal is to shape shopper behavior by preventing returns.  
    It says they predict too but if that's the case they should deny purchases from return abusers.
  2.  permalink
    How long until Frys is on board with this?
  3.  permalink
    This is amazing. I hope Fry's does this. We get some insane people that literally return 100% of what they buy. They are not worth the trouble.
  4.  permalink
    How bout a new company popping up known as buyers remorse insurance armed with the best lawyers?
    • CommentTimeDec 5th 2012
    Here's best buys policy on returns with identification required. It will help lower costs for all customers.
  5.  permalink
    Hopefully fry's does this! We are an indoor swapmeet that sells used stuff due to abusive re-sellers and asians. If we would just simply enforce the return policy we can be in much better shape!