Tips on How to Unleash Consumer Power
In today’s economy, smart consumers look for ways to uncover hidden value in the
products and services they purchase. As a consumer, you may not even be aware of certain
benefits that you get with your credit card. The following information has been compiled
to help you look at the ways your credit card purchases may be protected, and also
provides vital data for the new credit card applicant as well as the long-time cardholder.
Please note that this guide was designed primarily for a U.S. audience. While
many of the general topic areas may be relevant in other parts of the world, specific
details are U.S. based.
Protect Purchases Against No-Return
Policies
Perhaps you have experienced this: you purchase a pair of shoes to go with your new
blue suit, but you forget to bring the suit with you. When you get home you discover that
they are an entirely different shade of blue. Unfortunately, the store policy allows only
exchanges and store credits, not returns. What do you do now?
- If you shop with a credit card that offers return protection, you can receive
reimbursement for the purchase price even if the store of origin has a no-return policy.
- Return protection programs typically involve a limit on the amount per item and an
annual limit for the cardholder. Other qualifications such as the condition of the
purchased item and the existence of any return/satisfaction guarantee programs at the
store may apply.
Safeguard Your Valuables with Free Replacement
on Stolen or Damaged Items
Picture this: you have just purchased a camera and placed it on the kitchen counter
with the carrying strap dangling toward the floor. Along comes your 3-year-old, who spies
the camera strap, and gives it a yank. The camera hurtles down to the tile floor, breaking
the lens housing. What can you do now?
- Expensive items such as cameras, videocassette recorders and computers are breakable,
but even clothing, furniture and other everyday items can be accidentally damaged. But
consumers can breathe a little easier because some credit card companies offer purchase
protection plans. These plans typically cover accidental damage and theft for a certain
amount of time from the date of purchase. Protection is usually limited to a specific
amount per occurrence, in excess of other insurance you may have.
A Value Guarantee Ensures You Receive the Lowest
Price
Are you the type of knowledgeable consumer who checks the newspaper ads for several
weeks before purchasing an item, comparing products, features and prices? After doing your
homework, you make a purchase, confident that you got the best value. The following week
you see the identical item advertised for $50 less. What can you do?
- Some credit card companies have programs that assure the lowest price available on
covered products purchased entirely with that card. This guarantee generally applies if a
cardholder sees the same item in a published, dated advertisement for a lower price,
within a certain period of time of the purchase date. Typically, the card company will
refund the price difference, up to a predetermined amount per item, up to a preset annual
limit.
Protect Your Purchases by Extending the
Manufacturer’s Warranty
Ever wonder if the extended warranties offered at the time of purchase are
necessary? Picture yourself at an electronics store, having carefully selected the
all-in-one 3 CD changer/dual cassette recorder. You have negotiated the lowest price. You
say, "I’ll take it!" The salesperson says, "You know, the
manufacturer’s warranty is only one year, and this item may break after that. An
intelligent customer such as yourself should get an extended warranty." How do you
make the right decision?
- You may not need to buy additional warranties on major purchases because some credit
card companies will extend the terms of the original manufacturer’s warranty. This
service could save you the expense of purchasing extended warranty programs. Make sure you
familiarize yourself with coverage restrictions before making your final decision.
Checklist of Customer Protection Benefits
When you purchase items with your credit card, you may be receiving one or more of the
following benefits. Keep these benefits in mind in the event that you need to take
advantage of this consumer protection. Limitations may apply, such as type of item and
cost per occurrence, dollar amount allowed per year, time restrictions and procedures
required. When choosing a credit card, ask the issuer whether the following important
consumer protection benefits are offered:
- Protection against no-return policies
- Free replacement on stolen or damaged items
- Guarantee of the lowest price
- Extension of manufacturer’s warranty
Call your credit card company today to find out if the cards you are now using offer
these benefits and services.
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