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Beware of door-to-door traders

September 16th 2008 12:25
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NSW Fair Trading Commissioner Lyn Baker is warning consumers in Kempsey and on the NSW mid north coast to be wary of door-to-door traders selling household goods through rental style contracts and interest free deals.

Ms Baker said Fair Trading had received advice this week from the region about door-to-door traders targeting Aboriginal communities and selling white goods, electrical goods and household furniture.


"Door-to-door traders often peddle household items and prey on unsuspecting consumers to make a quick buck,” she said.

"They use demonstrations, samples and glossy catalogues to pitch their products to consumers who may not normally have easy access to such goods.

“These traders try to persuade consumers to sign agreements that lock them into paying regular instalments via direct bank debits or automatic deductions from Centrelink entitlements. Once the customer takes receipt of the product, they often find they haven’t got what they paid for or are paying too much.”

Ms Baker said common complaints associated with door-to-door traders were:

the total amount to be repaid is often much greater than the real value of the goods;
the goods supplied may be different or inferior to what the customer was led to expect;
customers experience delivery delays;
customers experience problems getting faulty goods replaced or repaired; and,
terms and conditions of the agreements are not properly explained to customers, who may be misled into thinking they are buying goods when they are only renting them.


Ms Baker said while NSW had laws governing direct commerce transactions and including cooling off periods, she urged consumers to be vigilant when dealing with door-to-door traders.

“Buying goods and services this way can be easy and convenient but consumers need to do their homework before signing up,” she said. "Always check you are getting exactly what you are paying for, read the fine print, ensure you are aware of any terms and conditions and never give your bank account or credit card details to someone you do not know or trust.”

Information from NSW Department of Fair Trading
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