Money Matters: Do retailers have to honour prices they've accidentally advertised?

Every week we will break down, debunk and demystify your rights as a shopper in Australia. This week we are looking at whether retailers have to honour prices that they may have mistakenly advertised.

We all know life is getting more expensive than ever before, and how important it is to stretch every dollar you make.

That's why each week we'll answer a question surrounding what shoppers are – and aren't – entitled to when dealing with retailers and manufacturers.

Money Matters: Is it legal for a shop to only accept cash as payment?

BARGAIN OF THE CENTURY

Hi Stuart,

I've been reading your column and have a question about prices. I was recently at a major retailer when I saw a golf bag that had the incredible price tag of just $6! The bag's original price tag said $350, but a yellow sticker had been put over it with the new $6 amount.

There was a nearby sign that also said $350 for those bags. I asked the store manager and there was a lot of discussion but in the end they reluctantly agreed to sell it to me for $6.

I was wondering - do retailers have to honour prices they advertise? Even if it was a temporary mistake?

Wow! A bargain for sure.

Fundamentally retailers have to honour the prices they advertise. But there is some wriggle room for businesses.

There is no way consumers like you and I can know whether a price has been set by "mistake".

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According to the Australian Competition and Consumer Commission (ACCC), if a business displays multiple prices for the same product, they must withdraw the product and fix the display or the advertisement.

"If you choose an item or service that has multiple different prices displayed or advertised and the business can't withdraw the product or service from sale and fix the error, you are entitled to buy it for the lowest price," the watchdog recommends.

So in theory, businesses have the option of removing the product if some grievous error by an employee has an occurred.

If they can't, well then they have to sell it to you for what they advertised it for.

MONEY MATTERS: The problem with 'no refund on sale item' signs

The ACCC says there are some exceptions to this rule, such as "when the advertisement states that prices vary in different regions, where a price is entirely hidden by another price, a unit price is shown, or a price is displayed in an overseas currency".

I think you scored well with the golf bag, but often it is a case-by-case basis.

Do you have a consumer question you want answered? You can get in touch with reporter Stuart Marsh at smarsh@nine.com.au.

The information provided on this website is general in nature only and does not constitute personal financial advice. The information has been prepared without taking into account your personal objectives, financial situation or needs. Before acting on any information on this website you should consider the appropriateness of the information having regard to your objectives, financial situation and needs.