On Wednesday 8 May I received an email from Megabuy advertising the latest Apple iPod Touch 5th Generation 64Gb in yellow for $299.00 ($323.03 incuding courier and credit card charges). Since my iPod had been stolen at New Year and I had limited insurance money to replace it, this was the best price I had seen so I ordered one late in the evening. The next day I received another email advertising the same model in pink for the same price, so I rang up to change my order. I was assured that stock was available and that one would be put aside for me.
My credit card was debited on 8 May and I expected to receive my new iPod within a couple of days as per the delivery advice. I waited and waited and nothing arrived. A few days later I received an email saying that, as a new customer, I had to verify my identity in order to avoid fraud. I had to provide an alternative email address and/or a work telephone number and someone who could vouch for me being who I said I was. This appeared to be a scam to obtain personal information, and as the credit card payment had already been processed, it was a suspicious and inexplicable breach of privacy for a minor purchase.
After complaining about this and referring Megabuy to my public web presences that verified my identity, I received another email advising me that stock had run out and that my order could not be satisfied.
I complained about this and Megabuy claimed that, despite a unit having been put aside for me, they had "completely run out of stock" and offered me either a refund or a 32Gb model for the same price (half the capacity of the one that I ordered). Despite threats to report them to Fair Trading and the ACCC (which unfortunately I have not had time to do), there was no response to my complaints and insistence that the item be supplied as ordered and paid for, and I simply received an email on 31 May saying that my order status had been changed to "refund" and a refund would be provided within 24-48 hours. A refund was not received until 6 June 2013. Megabuy had my money for nearly a month.
In summary, Megabuy:
- engaged in bait advertising;
- confirmed that stock was available and set aside for me but later failed to honour this;
- debited my credit card at the time of placing the order (rather than after confirming stock availability);
- 'snowballed' on delivery through making a very suspicious demand for further personal employment and contact details;
- subsequently claimed that all stock had run out;
- offered an item of lesser value and capacity for the same price;
- did not respond to my consumer complaints and threats to report them to consumer affairs authorities; and
- took a month to refund my money utilising it for working capital in the meanwhile.
As a result, I strongly recommend against dealing with them no matter how good their prices sound - if it is too good to be true, it probably is, and no-one should have to go through this sort of experience if you are dealing with a reputable company.
I agree. Have had the worst experience with Megabuy. They are the worst online retailer I have ever experienced. They should be shut down. They're basically crooks. BEWARE.
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