Speaking on his BBC podcast, Martin said many people wrongly assume there’s one set of rules every retailer has to follow.
Instead, he says there are three different scenarios that determine whether you can get your money back.
He told listeners: “If you buy something that is faulty, whether you buy it online or in store, if you return it within 30 days, you have an absolute right to a full refund.”
If an item is faulty
Martin explained that your rights are protected under the Consumer Rights Act if something you’ve bought isn’t up to standard.
After the first 30 days, retailers can usually offer a repair or replacement before a refund.
He also shared his simple way of remembering what counts as faulty.
“An item when you buy it must be of satisfactory quality, as described, fit for purpose and last a reasonable length of time,” he says.
If you’ve misplaced your receipt, don’t panic.
Martin pointed out that you don’t actually need the paper receipt if you can prove you bought the item.
On the podcast, he explained: “If an item is faulty, then you only need proof of purchase… Here’s my credit card statement. It shows I bought it. It shows the exact price. That’s proof of purchase that any court would take.”
Buying online? You usually have 14 days to change your mind
Shopping online comes with extra protections.
Martin said that, in most cases, shoppers have 14 days to notify the retailer they want to return an item, followed by another 14 days to send it back.
He added: “If they tell you different times, they’re wrong.”
The rules generally don’t apply to personalised or perishable goods.
Buying in-store is very different
This is where many shoppers are caught out.
Martin explained that if you’ve bought something in a physical shop and simply changed your mind, there is no automatic legal right to return it.
He said: “If you buy something in store and it isn’t faulty, you have no right of return whatsoever.”
Instead, any refund, exchange or store credit depends entirely on the retailer’s own returns policy.
Martin added: “If they say we only accept receipts and we only give store credit, then they’re being more generous than they need to be.”
However, if a retailer advertises a returns policy, customers can rely on it because it forms part of the contract.
The extra protection many shoppers forget
Martin also regularly reminds consumers that paying by credit card can unlock another valuable layer of protection. Under Section 75 of the Consumer Credit Act, credit card providers are jointly liable with retailers for purchases costing between £100 and £30,000.
That means if a retailer goes bust, refuses to deliver your order or breaches your consumer rights by supplying faulty or misdescribed goods, you may be able to claim your money back directly from your card provider.
He describes it as ‘inviolable’ – essentially, it’s one of the best pieces on consumer law we have to protect buyers. But, Section 75 only applies to credit cards, although many debit card providers operate voluntary chargeback schemes that may also help in some circumstances.
Martin Lewis’ 3 golden refund rules
Martin summed it up with three simple points:
- Faulty item: You’re entitled to a full refund within 30 days under the Consumer Rights Act.
- Non-faulty item bought online: You usually have 14 days to tell the retailer you’re returning it and another 14 days to send it back.
- Non-faulty item bought in-store: “You have no statutory right of return,” Martin said, so any refund depends on the retailer’s own policy.
As he put it: “The reason people get confused is many people assume that they have a right to change their mind even if something isn’t faulty.”
