Restocking Fees and Expiration Fees

There are four words many people don’t think about when they are shopping for themselves or for someone else: restocking fees, expiration fees. These four little words could end up costing you or someone else money if you’re not careful. We’re talking about restocking fees on returned merchandise and expiration fees on gifts cards. This information will be useful to you year round, but especially during the holidays, when your gift to someone else could end up costing them money.

Restocking fees are fees charged by certain retailers on items that are purchased from them and later returned. Most of the time, the fee only applies to certain products if the box has already been opened and the item is not defective. If you just bring in the unopened package, it’s considered an exchange. The average restocking fee is 15 percent of the purchase price. If you buy something for $100 and decide you don’t like it, it will cost you $15 to return it. If it’s a gift for someone else, it will cost them $15.

Walletpop.com has published this list of retailers on its website:


Retailers with Restocking Fees:

• Best Buy -- 15% on opened electronics.
• Amazon -- 15% on opened computers.
• Target -- 15% on camcorders, digital cameras, portable DVD players and portable electronics.
• Office Depot --15% if box is missing anything on technology products, including computers.
• Office Max -- 15% on opened technology.
• Sears -- 15% on home electronics returned without the original box, used, and without all packaging and accessories.
• Apple -- 10% on opened hardware or accessories.
• Dell -- 15% on non-defective hardware returns, including computers.

Retailers With NO Restocking Fees:

• Radio Shack
• Lowes
• Staples
• Walmart
• HP
• Home Depot -- 15% on special or custom orders only.

Something else to be aware of as you shop, especially last minute shopping, are expiration fees on gift cards. These also vary depending on the retailer, but here is what you really need to look for, and it should be written on the back of the gift card. Some gift cards never expire, but if they are not used within a year or so, the company will begin deducting a monthly fee until the balance is depleted. Let’s say you give someone a gift card. They put it away for safe keeping and forget about it. A year later they find it and want to use it. It may not be a full gift card, if you purchased one with these expiration fees. If you gave them a $25 gift card, and the company has started deducting $2 or more a month, it doesn’t take long for that card to be useless.

Whether you are shopping for yourself or someone else, ask for the return policies before you pay for merchandise, and read the fine print on the gift card before you purchase it. That little bit of research will save both money and frustration.