For years, Target’s generous return policy has been a favorite perk for shoppers. However, recent trends suggest that this perk might have been exploited. In an effort to combat a rise in return fraud, Target has quietly implemented stricter return procedures.
Target’s Updated Return Policy
Target’s updated return policy now explicitly states the retail chain’s “right to deny returns, refunds, and exchanges” to prevent scams and discourage fraudulent behavior. This includes “preventing fraud, suspected fraud, or abuse,” according to the company’s revised return and exchange policy on its website.
A Target spokesperson confirmed to TheStreet that the company has adjusted the language of its return policy but has not changed the underlying policy itself, which still allows for the return of most unopened items in “new condition” within 90 days.
While Target has maintained its original 90-day return window for most unopened items in new condition, it has made clear with its updated return policy that deceptive practices will no longer be tolerated and store staff will now be more vigilant in identifying potential instances of fraud.
Why the Change?
Target’s updated return policy follows years of concerning reports about customer return practices. These reports detail consumers returning heavily used or even stolen merchandise.
This shift aligns with a broader trend impacting retailers nationwide. The National Retail Federation estimates that return abuse cost retailers a staggering $101 billion last year.
The National Retail Federation’s report further highlights the various ways consumers exploit return policies. Nearly half (49%) of retailers reported experiencing customers returning used, non-defective products. Additionally, a significant portion (44%) encountered attempts to return shoplifted or stolen merchandise. Furthermore, 37% reported instances of customers returning products purchased with fraudulent or stolen payment methods.
Prior to this change, retailers like Target faced challenges with customers abusing return policies by returning used items that appeared new.
Target’s move also coincides with a recent surge of social media complaints from department store employees regarding customer abuse of return policies. Here are a couple of examples from Reddit users expressing their frustrations:
What is the point of having a return policy?
byu/sithacolyte66 inTarget
Target Says Goodbye to Personal Checks
Beyond the revised return policy, Target has also discontinued accepting personal checks as a form of payment. This decision, effective July 15th, reflects a broader trend away from checks, especially among younger generations who favor cards or digital wallets. While some older customers still prefer checks, their usage has significantly declined.
Retail experts have observed that checks are becoming increasingly outdated in today’s retail environment. Other retailers, such as Aldi and Whole Foods, have already eliminated personal checks as a payment option.
Target’s policy adjustments discussed above underscore the evolving retail landscape, where issues like return fraud and payment methods are now critical factors for retailers to manage profits and maintain customer trust.