CASE receives over 30 complaints on retractable clothes hangers scam
By Asha Popatlal, Channel NewsAsia | Posted: 28 May 2007 0221 hrs

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SINGAPORE : The Great Singapore Sale has just kicked off.

But, amidst the shopping frenzy, there are some sales that are making people see red.

These are the errant "door-to-door" salesmen who persist in targeting vulnerable groups, like the elderly and not-so-educated.

One such scam involving retractable clothes hangers saw more than 30 complaints since last year against just one company.

64-year-old Madam Lee Hiu's problems started on April 2 when she let in a salesman she thought was a government representative and ended up with a $600 product she never wanted.

Elsie Kua, daughter of Madam Lee, said: "There's this guy from a company who actually came to her and said they would like to check the bamboo pole hanging area to see if there is any crack. So my mum thought he wear a badge and he say he is from a government body, so she let him in.

"After checking, he said there is no crack but the government is probably going to so-call seal this area and no more hanging in future. So, naturally, my mum will asked, "Where am I going to hang all my clothes?" That is when he started to introduce this thing."

Using high pressure tactics, they persuaded Madam Lee to sign up and install the item within hours on the same day.

Although she asked them to come back the next day when family members would be around, they convinced her to fix it quickly.

Elsie feels they exploited her mother's ignorance of English and procedures.

Elsie added: "I was so upset because of all the clauses that they stated on the contract. First of all they said - I mean up front they probably know this thing is going to happen - so they put a clause there that they are not any representatives of any government body. My mum is illiterate - you don't expect her to understand all these terms."

What few people on the ground realise is that the Consumer Protection Fair Trading Act passed in 2004 says such door-to-door salesmen must tell consumers they have a three-day cooling-off period during which they have the right to cancel the contract without having to give any reasons.

This applies to two areas - door-to-door sales and time share sales. The Consumers Association of Singapore says they continue to regularly receive consumer complaints from these two areas.

Seah Seng Choon, Executive Director of CASE, said: "We need consumers to know they have this right before they can exercise it. And we are also urging the business to tell their agents to please inform consumers that they have a three-day cooling-off period.

"We are concerned because Singaporeans are more believing when there is someone from the authorities saying, "I need to change this and that for you.""

Elsie said her family approached CASE for help immediately after the incident and sent a registered letter within three days. She said the manager of the firm claimed he did not receive the letter.

He also wants to charge them 50 percent of cost for cancellation.

CASE said there have been over 30 complaints against the firm since last year and urged buyers to beware. - CNA/de