Warranty clean-up coming after OFT probing
Some of the UK’s most, ahem, popular retailers have made a solemn promise to smarten up their acts when it comes to offering extended warranties on electrical goods after the Office of Fair Trading wagged its sizeable finger at the them.
The OFT is concerned about unfair competition, amid beliefs that punters aren’t being given full information before being sold warranties, in particular regarding the fact that they can shop around for such a service. At the moment, only a quarter of consumers are shopping around for extended warranties, with the majority being sold at the point of purchase.
Dixons, Comet and Argos have promised to set up a warranty comparison website and offer up more information to warranty-buying fans in their stores and on The Internet. The OFT will now be keeping a close eye on the situation and will decide if they’re satisfied or ready to throw the warranty hot potato to the Competition Commission for more probing.
TOPICS: High Street News