This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: Chapter 4: Consumer Responsibilities, Redress, and Law Key Legislation to Remember: FTC Civil Rights Act Fair Credit Act Fair Debt Collection Practices Act Food Labeling Act Federal Food Drug &amp; Cosmetics Act Consumer Credit Protection Act Review: Steps in the Consumer Buying Process PREPURCHASE o Assessing need or want o Searching for information o Evaluating alternatives o Selecting PURCHASE o Buying POSTPURCHASE o Evaluating after purchase through use and comparisons We watched examples on YouTube of awful customer service when customers had complaints with products. How Hard is it to Cancel AOL? and .002dollar = .002cent Complaint Procedure Local business, the place where you purchased the actual product Manufacturer Non-governmental organizations Government protection agencies Small claims court Class action suits Consumers options when they have been harmed in some way, the product does not perform properly, or the service is unsatisfactory: Redress, or the right to seek and obtain satisfaction for damages incurred through the use of a product or service. Important determinants of effective consumer redress o Do not have an emotional outburst. Most likely the person you are talking to is not the person at fault for the problem. o Act promptly. Be aware of return policies. o Know your rights. o Get organized. Have your receipt and know when and where it was purchased, what its model number is, etc. It is recommended that consumers keep a file for sales receipts, contracts, warranty information, and owners manuals for major purchases so that they are easily readable for future use. o Put everything in writing and send it as certified mail. That way someone has to sign for it when it gets to the business and you have evidence that it was received. Steps in Consumer Redress o STEP 1: Return to the place where the item was purchased or no service was rendered. Currently there are no laws that regulate refunds. Stores set their own policies but they are not required to post them. Be prepared to explain the problem. o STEP 2: Contact the companys headquarters by phone, e-mail, or letter. The following information should be included: Description of the product or service The date and place of purchase or service The name of the product or person who provided the service The serial number of the product. The opening of the letter should be positive and state facts in an objective manner. Requests should be put before jurisdiction. Conclusions should be stated before discussion. Attachments should be used (Example, copy of the receipt. Do NOT mail the actual receipt.) The consumer must state the problem and the history and ask for a specific action to resolve the dispute....
View Full Document
- Fall '09
- Consumer, Credit card, Consumer Credit Protection, government protection agencies