The post-Christmas return ritual just got expensive. Major retailers are abandoning decades of hassle-free returns, now charging customers up to $45 to send back unwanted gifts as stores scramble to offset crushing logistics costs from an estimated $850 billion in annual returns.
The day after Christmas traditionally brings crowds of shoppers to stores, returning gifts that weren't quite right. But this year, those shipping their returns could face an unwelcome surprise: return fees.
Hassle-free returns may be a thing of the past as major retailers now charge customers to return items, even if they are unopened and in perfect condition, CBS News reported.
Americans will return approximately $850 billion worth of merchandise to stores this year, with nearly 20% of online purchases ending up in the return pile, according to the National Retail Federation.
Macy's now charges $9.99 for mail-in returns. T.J. Maxx and Marshalls charge $11.99. Other stores, including J.Crew ($7.50), Abercrombie & Fitch ($7.00), H&M ($3.99) and Zara ($4.95) all now charge fees between $4 and $8.
It can now cost as much as $45 to return certain electronics at Best Buy.
Amazon has also tightened its policy, charging some customers unless they use its box-free, in-person drop-off option.
"Merchants now are under a tremendous amount of cost pressure. They're really trying to offset some of the costs that they face in returns by asking shoppers to share some of the burden," David Sobie said.
Sobie co-founded Happy Returns, a company that uses AI robots to help make returns easier.
When asked about avoiding these fees, Sobie offered this advice: "The best way to avoid them is just to read the retailer's return policy before you check out in the first place."
The good news for shoppers willing to make the trip: in-store returns are still free at most retailers.
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