Just something to think about as the festivus continues....My...

Just something to think about as the festivus continues....

My daughter works in retail as a clothing store manager ( very well known and semi upmarket) and had a very irate and abusive (swearing) customer wanting a refund on an item that she had purchased on Zip pay one week prior.

The issue arose when my daughter agreed to process the refund and asked the lady for the receipt for the item concerned....the lady replied she had used Zip and my daughter explained that the item was now subject to the periodic payment plan to secure the goods.
She went on to say that the goods would need to be either paid off through the payment plan first, before a refund could be processed OR she could apply to Zip under their terms and conditions for the refund to be processed with a small fee attached for the privilege ($5.00 i think but i could be wrong there)
The woman simply did not understand the expalantion and demanded that the refund be transacted there and then.....this is when the abuse began......
My daughter asked whether the customer had read or even researched the terms and conditions of the credit provider prior to onboarding and using the facility? ( red rag to a bull...)
What is the point of that....i simply want to buy my xmas shopping and zip is the easiest way came the reply....

Needless to say the refund was not processed as the item was under payment terms and the customer concerned did not want to pay it out immediately and then have the refund worked AND said that once she had paid it off within the terms would be back for the refund to be processed ......my daughter smiled and wished her a merry xmas.

conclusion - the issue is not irresponsible lending practices in the bnpl sector...it is that the borrower uses the facility without the required diligence to ensure the have full capacity and understanding of what it is they are entering into order to secure the item, thereby accruing debt .....( perhaps a microcosm of the nations wider burgeoning debt problem...)

In conversation with me my daughter then confirmed that the store concerned offers both Zip and APT as a purchase option and that zip was the preferred choice by a rate of at least 2 to 1 over APT across all store purchases where a credit facility was used.....and now matching the use of credit cards.

I think the forthcoming accounts from zip once the silly season is passed might surprise quite a few people....

this is my own opinion and account of what i was told.......left me smiling as a small parcel holder in Zip ( got in at $1.15) and my daughter also as her small parcel was placed so that over time she may be able to use any gains to potentially assist paying off her $30,000.00 HECs debt incurred for the degree just completed in human bio sciences....fingers crossed.

Merry Christmas to all....