TULSA, Okla. — The holidays are over, decorations are down, but there's one post-holiday task many people are putting off that could come with surprise fees or missed deadlines: returning unwanted gifts.
The National Retail Federation estimates that about 17% of holiday purchases are returned, and some return deadlines are fast approaching.
"It depends on the store, but a lot of times I see something like January 15th or January 31st would be the deadline for holiday returns," said Ted Rossman, a financial analyst with Bankrate.
Extended return windows for holidays
Rossman told 2 News that some stores do extend return windows after the holidays, so it's important to check each retailer's policy. Many stores that normally give customers 30 days to return something stretch it out for holiday purchases.
"Anything bought in November or December can be returned until January 31st, or something like that, so it does make sense to be aware of these deadlines and the fine print, and make sure you get your money back," Rossman said.
Watch out for restocking fees
Shoppers should also watch out for surprise return or restocking fees, especially if they bought items online. Rossman said the ease of online shopping has created a surge in returns, particularly clothing.
"Some people are even doing the showrooming kind of thing, or wardrobing, where they buy, like, 3 of the same shirt in 3 different sizes, and they try them on at home, and they ship 2 of them back," Rossman said.
This practice can be costly for merchants, so instead of offering free returns, many now charge fees.
Ways to avoid return fees
There may be ways around these fees. If there's a shipping fee for returns but a local store where you can drop items off for free, that might be the better option.
Rossman also recommends checking to see if ShopRunner is available through your credit card or PayPal. The service offers free returns at dozens of retailers and normally costs $79 per year, but many people can access it for free through credit cards or other memberships.
If a store won't take something back because you don't have a receipt or it's past the return date, American Express and other credit card companies will sometimes step in to handle the return themselves.
Frequent returns can get you banned
The bottom line when it comes to returns: know your retailer's return policy and deadlines, watch for return and restocking fees, and don't make a habit of returning goods.
Merchants track return patterns, and frequent returns can get you banned from shopping with that company or returning items to it.
"You actually can get in trouble with retailers for doing too many returns," Rossman said. "It's fine to do the legitimate, occasional return, but if you're constantly getting in the habit of ordering 3 things and returning two, they might get annoyed with you."
He added, in extreme cases, some people even get put on a "naughty list" where stores won't sell to them anymore.
Environmental and business impact
The surge in returns also has environmental consequences. Sometimes returned merchandise can't be resold, leading to waste of merchandise, packaging, shipping materials, and energy. Small returned items may not be worth restocking, so retailers sometimes package them up and sell them to resellers or "bin stores" where customers can hunt for deals on returned merchandise.
Rossman told 2 News that online purchases are much more likely to be returned than in-store purchases. When customers return items to physical stores, retailers benefit because they get shoppers back in the door where they might buy something else. Online returns actually cost retailers significant money, leading to companies implementing new fees and restrictions on returns.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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