Goodbye free online returns! Shoppers urged to double-check refund policies on Christmas shopping – 4 in 10 retailers now charge for mail-in returns including $12 at TJ Maxx

The era of free online returns is coming to an end as scores of retailers ditch the service.

Ahead of the Christmas holidays, customers are urged to double check the returns details on all their online orders.

About 40 percent of companies are charging restocking fees this year, according to the agency. report from retail company Narvar. Fees primarily apply to online orders returned by mail.

And they can reach $10. An analysis of a number of brands found that TJ Maxx charges the highest return fee at $11.99, while Zara offers the lowest at $3.95.

This marks a significant shift in attitude for retailers who have been vying for customers by offering super-convenient and hassle-free services.

About 40 percent of companies are charging returns fees this year, according to a report from retail company Narvar. Fees primarily apply to online orders returned by mail.

But there have long been concerns that shoppers are taking advantage of free returns for online orders, buying dozens of items knowing many will be returned.

Data from the National Retail Federation (NRF) shows about 16 percent of sales were returned last year, up from 10.6 percent in 2020. Overall, the NRF estimates that these returns cost retailers $800 billion.

Retail analyst Neil Saunders from Global Data told DailyMail.com: “We see consumers often using the home as a fitting room. They buy a lot of clothes knowing that some will be returned.

“Businesses are now trying to get consumers to think more carefully before making a purchase.”

He added: “This has been a very difficult year for retailers and there is a lot of pressure on them to cut costs.”

When a buyer returns an item by mail, the seller incurs a number of costs.

H&M charges a $5.99 “return shipping fee” to its disloyal members. Customers can return online orders to the store for free.

TJ Maxx, which charges the highest at $11.99, calls it a “shipping and handling fee.”

These include an advance postage fee, as well as logistics, handling and repackaging fees. NRF estimates that the retailer pays $33 for every return it provides.

While no retailer passes on this full cost to the consumer, some charge more than others.

For example, Zara, American Eagle Outfitters and Urban Outfitters charge $5 or less for returns. Urban Outfitters calls this a “restocking fee.”

At the same time, H&M charges a $5.99 “return shipping fee” to its disloyal members. Customers can return online orders to the store for free.

TJ Maxx, which charges the most at $11.99, calls it a “shipping and handling fee.”

Similarly, DSW refers to the $8.50 fee as a “shipping fee” while Rei Co-Op states that its $5.99 fund was used to cover “shipping of standard size and weight packages” .