Importance Of Consumer Protection

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What is consumer protection? Consumer protection is a group of laws and organisations that are designed to ensure the rights of consumers. The majority businesses are known to be honest and trustworthy for the goods they sell and the services they offer, but some business are not honest hence consumers are not treated fairly and justly. This is why consumer protection laws are instituted which help consumers be treated rightfully and honestly. What is the need for consumer protection? The need for consumer protection is that these laws are specifically designed to prevent consumers from getting scammed by retailers that engage in fraud and seek advantage over consumers. Every year 1 in 20 Australians are victims of scams. The aim of a scam…show more content…
If a consumer complaints against the good because of these reasons, they can ask for a refund from the retailer/business selling the good or even go to court to file a complaint and this is why consumer protection is so vital for consumers as it helps them be protected from getting exploited. What is the legal rights of consumers? Legal rights are rights instituted by laws that consumers have. The four basic rights a consumer has: are safe products, accurate product information and descriptions full disclosure of the terms of…show more content…
This Federal Act was introduced in 2011 and applies to all Australian consumers and businesses. The main purpose of this Federal Act is to protect consumers against misleading advertising, unreasonable conduct, misrepresentation of the contents of products, unfair trade practices and false claims regarding goods and services. The Federal Act protects consumers from common methods used by retailers such as: fine print: where important conditions are written in small sized print. Before and after advertisements: when consumers may be misled of the comparison being distorted so that ‘before’ images are worsened and ‘after’ images are enhanced. Test and Surveys: Some advertisements make claims that they have not performed like 90% of people prefer a product when no survey had been conducted. Country of Origin: The accuracy in labelling is important as ‘Made in Australia’ is different to ‘Product of Australia.’ Packaging: when the size or shape of a package may give a misleading impression of the
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