Consumers in Sweden Engelska
Consumers in Sweden If you want to find out about consumer regulations in Sweden, we ve put together some key facts and useful advice. Advice and help... 3 Consumer advice... 3 Konsument Europa... 3 The National Board for Consumer Complaints (ARN)... 3 Buying from shops... 3 Buying on approval... 3 Right to exchange... 3 Sales... 4 Guarantee... 4 Extra insurance... 4 Faulty goods complaints... 5 Prices... 5 Other ways of buying... 6 Buying online... 6 Right to cancel... 6 Other good advice... 7 Cars... 7 Electricity... 8 Telephone and Internet... 9 Saying no to advertising... 9 Housing... 10 Buying under tenant-ownership... 10 Moving home... 11 Debts... 12 If you don t pay... 12 The Swedish Consumer Agency, December 2005
Advice and help Consumer advice The consumer advisor can help you with questions about your rights and liabilities advice and hints before you make major purchases questions about finance and budgeting complaining about an advertisement, goods or work carried out if you cannot come to an agreement with the seller. In most municipalities, you can get help from consumer advisors and budget advisors. Contact your own municipality. On the Internet, you can find opening hours and telephone numbers at www.konsumentvagledare. konsumentverket.se Buying from shops Konsument Europa Contact Konsument Europa for advice about cross-border purchases within the EU or if you have any problems with something you ve bought in an EU country. E-mail address: info@konsumenteuropa.se, telephone: 08-429 07 80. Website: www.konsumenteuropa.se The National Board for Consumer Complaints (ARN) The National Board for Consumer Complaints takes up and deals with any cases which the consumer and the seller cannot resolve between them. Goods or services must be of a value of more than SEK 700, and the board does not deal with buying under tenant-ownership. Settling a dispute through ARN is free of charge. Website: www.arn.se Buying on approval Buying on approval means if you change your mind about the purchase and return the goods within a certain time, you get your money back. There s no law giving the customer the right to buy on approval, but many department stores, chain stores and independent shops offer this option. If you want to buy on approval, it s best to ask before paying. If the shop offers buying on approval, ask the sales assistant to write this on the receipt. The date by which the goods need to be returned should also be on the receipt. Always keep the receipt. Return goods on time, i.e. before the end of the buying on approval period. Goods should be returned in the same condition as when you bought them. The shop might also require that the packing be undamaged for goods to be returned. Right to exchange Some shops which do not offer buying on approval may instead offer the right to exchange. This means that you can bring goods back and choose something else from the same shop. Sometimes you can get a credit note if you change your mind about a purchase. But you don t get your money back like with buying on approval. Before you pay, ask when you have to return goods by. Always keep the receipt. 3
Reavaror bytes ej ( No exchange of sale goods ) means you can t exchange things bought in a sale if you change your mind. But if sale goods are faulty, you can of course still return them. Sales Sale, discount, money off and special price these terms lead you to expect a particularly good offer. For a shop to tempt customers with the word sale in its advertising, the following must apply: the sale must be for a limited time the goods must have significantly reduced prices the goods should be part of the shop s usual range. Guarantee A guarantee means that the seller is responsible for the goods lasting or working for a certain time. The Swedish Consumer Sales Act states that all faults which become apparent in the first six months after purchase count as original faults. If any such faults occur, you are entitled to have the goods repaired or replaced or the cost reduced. The guarantee applies to either the whole item or part of it. Even if the guarantee doesn t apply to the whole item, you are still entitled to complain if something is wrong with it. In practice, the act therefore provides a six month guarantee. It is up to the seller whether or not they offer a longer guarantee. The seller does not have to honour the guarantee if, for example, the fault is due to: an accident after you have received the goods, mistreatment, abnormal use, your failure to follow the care and servicing instructions. The Swedish Consumer Sales Act entitles you to complain about faulty goods for up to three years after purchase. Even if the guarantee is for one or two years, the period for making a complaint is still three years. During the guarantee period, the seller must repair the goods, regardless of when the problem arises. You do not need to prove that the goods were faulty from the start. But once the guarantee has expired, you will need to prove that the goods were faulty from the start. You don t need to have the receipt if you can prove when you bought the goods from the shop in some other way. But since it is up to you to prove this, it s always easier if you keep the receipt. Extra insurance When you buy goods such as a television, video or computer, the seller will often suggest that you take out extra insurance. The reason given is usually that the goods are so expensive to repair if they break. But extra insurance often represents poor value: You often have to decide whether to take out insurance while still in the shop, and you can t then change your mind. Ask if you can go home and think about it at your leisure. This also gives you the chance to check what insurance cover you already have. The Swedish Consumer Sales Act states that you have three years in which to complain about goods which break. If you can prove that they have broken due to faults which existed from the start, you can get them repaired free of charge. Goods are often sold with one or two years guarantee. During the guarantee period, the seller must repair the goods, regardless of when the problem arises. You do not need to prove that the goods were faulty from the start. But if you have caused the fault yourself, you are never entitled to make a claim. 4
Extended guarantee The extra insurance may mean that the guarantee is extended. This gives you protection equivalent to the guarantee for a longer period, but you still have no recourse if you have interfered with something yourself. Accident insurance Another type of insurance is a policy which pays out if, for example, you or someone else in your family drops the TV on the floor or spills coffee on the computer keyboard, or if a child puts a bar of chocolate in the video recorder. You might already have this as additional insurance on your household insurance. It might be called All risk or Accident insurance. The difference between additional household insurance and insurance offered by the shop is that household insurance often has an excess, which is the amount you have to pay yourself if anything happens. One advantage with additional household insurance is that it covers most of your family s possessions, not just the TV or the computer. Check the following first: How long is the guarantee period? What is covered by your household insurance? What is covered by the extra insurance?... and remember: Guarantees cannot include an excess You are entitled to make a complaint about faulty goods for up to three years. Faulty goods complaints Making a complaint means that you tell the seller that you reject the goods why you believe the goods are faulty. You must notify the seller about the fault within a reasonable time after the fault comes to light. Two months should always be deemed to be a reasonable time. But a reasonable time could also be longer than two months, for example if you have been sick or away. For the first six months after purchase, the fault can be deemed to be original if the seller cannot prove that the fault was not there from the beginning. Once more than six months have passed since the purchase, it is you the buyer who must be able to prove that the fault was there from the beginning. The Swedish Consumer Sales Act gives you the right to make a complaint for three years from receipt of the goods. The period in which to make a complaint was extended on 1 April 2005 from two years to three. For goods and services which you bought before that date, the period is still two years. To ensure that you don t miss out on your rights, always make a complaint as soon as possible! Prices There is no law which sets prices. A seller can choose what price to set for the goods he sells. The seller and the buyer reach an agreement on the price. The agreement must be adhered to. The price which you and the trader agree on shall apply. The Swedish Price Information Act states that the price shall always be given when a company sells or advertises goods and services direct to the consumer, such as in shop windows, shops, adverts and direct advertising. VAT should always be included in the price. Only when a firm sells to another company can the price be given excluding VAT. There should also be comparative prices for many goods, particularly food. The comparative price is, for example, the price per kilogram or litre. This makes it easier for you as a consumer to compare the prices of goods from different producers. 5
Other ways of buying Buying online Some good advice before you buy online. Watch out for fraud. Be suspicious of extremely cheap offers or unbelievably good products. Read all the purchasing information on the website. Check the company details. Are the company s address, telephone number and postal address included in the advert or on the website? Phone or e-mail the company if you have any questions. Companies which are not bona fide often cannot be contacted. Check the total cost. Are packaging, delivery and any customs charges included? How long is the delivery time? This can be useful to know if you need the goods by a particular date. If there is no mention of a right to cancel or delivery terms, think carefully before you place an order. 14 days right to cancel is a legal right when shopping within Sweden. It shouldn t cost you anything to cancel a purchase, but you may have to pay the return postage. Once you have ordered goods, you should always get a confirmation. The confirmation should also provide details of your right to cancel. If paying by card, check that the right amount is charged to your account. There is a risk that your card number will fall into the wrong hands. If someone uses your card number, contact your bank or card issuer immediately. Avoid paying in advance, as you will lose one of the best means of putting pressure on the seller that you have as a consumer withholding payment if you do not receive the goods or if they are faulty. Right to cancel When buying in a shop, you have no legal right to cancel the purchase. However, if you buy something by mail order, from a telephone salesperson, through a TV shopping channel, online or from a door-to-door salesperson, you have 14 days right to cancel when shopping within Sweden. The Swedish Distance and Door-to-Door Sales Act includes the requirement that the seller gives you clear information on how you can cancel your purchase. Return postage For distance agreements, if you cancel the purchase you have to pay the return postage yourself. For door-to-door and telephone sales, you need not pay the return postage. If you buy something from another EU country, for example online, you also have the right to cancel, but the cancellation period may be shorter than 14 days. For more information about cross-border purchases, contact: Konsument Europa e-mail address: info@konsumenteuropa.se telephone: 08-429 07 80 week days 09:00-13:00 www.konsumenteuropa.se 6
Other good advice Cars If you re buying a car, you can find plenty of information and useful advice at www.bilar. konsumentverket.se If you re buying a second-hand car, visit www. begbilguiden.konsumentverket.se first. If the car you re thinking about buying is in the second-hand car guide, you can check whether the price is reasonable, how that model has performed in vehicle tests, how safe it is and what other owners think about it. You can also compare models at www.bilkalkylen.konsumentverket.se There you ll find most new cars and many second-hand cars, including models up to 15 years old for some manufacturers. Buying a second-hand car Take your time. There s a lot to gain by doing your homework. The second-hand car market is very different to the market for new cars. For example, there are many more models to choose between. Lots of dealers sell second-hand cars. Alternatively, you can buy privately. Don t rush it There are plenty of second-hand cars out there. Never be fooled by a salesman who says There s a customer coming in this afternoon who s interested in this one, but it s first come first served... or I ll give you a special price. All customers get a special price. It s in the salesman s interests for you to decide quickly. Do your homework Read the newspaper adverts. You can also check the motoring pages of Gula Tidningen or other ad magazines. The Internet is another good source of information. Look at plenty of cars Compare the prices and don t just look at one or two cars. There can be a real difference in prices between two cars of the same age and the same model. A few basic tips: Cars from 1989 onwards have catalytic converters. Check the car s service history. Check that the seller really does own the car. Call the vehicle registration office s information line (telephone: 077-114 15 16, call rate). Compare the car with similar ones, e.g. using car websites. Trading in If you have a car to trade in and are considering buying a car from a dealer, you should think about buying from a dealer which specialises in your brand, as they often pay better trade-in prices. They may also be cheaper for other makes of car. It s just as important to investigate the trade-in market as it is to investigate the market for the car you are planning to buy. If you have an older car, it can often be a good idea to try to sell it privately. If you owe money on a trade-in car, you cannot sell it until the debt has been paid off. Test the car! Ask for the trade description! Once you ve found a car that seems good, get it tested before buying privately. If buying from a car company, check that the car has a trade description in line with the Swedish Consumer Agency s guidelines. Ensure you get a copy of the trade description if you buy the car. And check when the car is next due for an inspection. Buying a car privately If you plan to buy a car from a private individual, use the Swedish Consumer Agency s purchasing contract which is available at www.konsumentverket.se! 7
Electricity There is a useful online service for checking electricity prices, with good advice on how to save electricity and how to go about changing suppliers. Go to www. elpriser.konsumentverket.se In case you don t have Internet access, here is some advice: Temporary price If you do nothing yourself, the local network operator (the company which deals with the electricity network in your area) will assign an electricity supplier. You will get a temporaryprice contract. This is almost always more expensive than other types of contract from the same company. Plenty to gain There are a number of reasons for changing electricity supplier not just for saving money. You can do your bit for the environment by choosing electricity from energy sources which have less of an environmental impact. Household electricity consumption represents a significant share of overall environmental impact. You can also get plenty more into the bargain. Some contracts include various services and benefits. These could be energy advice and energy-saving tips, or they might not be directly related to electricity, such as telephone, broadband or insurance offers. Switch or renegotiate How much you could save by switching suppliers depends, among other factors, on the type of contract you currently have and how much electricity you use. Total electricity cost The deregulation of the electricity market means that you can have contracts with two companies: the electricity supplier, which sells the electricity you use the network company, which transfers the electricity to your home. You can only have a free choice with one of these: the electricity supplier. The network companies have monopolies in their own regions. So your network company is completely dependent on where you live. The total electricity cost is the sum of what you pay the electricity supplier and the network company, plus taxes. Easy switching It s not hard to switch to a new electricity supplier. Just contact the company you want to change to. The new company informs the network owner of the change. The network company needs to know which electricity supplier you have in order to be able to report your meter reading to the company you buy electricity from. Check the notice period Check the notice period for your current electricity supplier before signing an agreement with another supplier. The notice period is one month unless you have agreed otherwise with your existing supplier, for example if you have an agreement for a set price over a set period. If you wish to terminate a contract early, you often have to pay an additional charge. And don t terminate your current agreement until you know when a contract with a new supplier can come into force. Get out in time You can switch to a new supplier on the first day of the month. But you need to arrange to switch over a month in advance. EXAMPLE: If you want to switch suppliers from 1 January, you must notify your new supplier in mid-november. This is because your new supplier needs to notify your network owner by 30 November (one month before changing). If you don t do it until 1 December or later, the changeover will be delayed until 1 February. 8
Telephone and Internet You can find a useful service online for checking telephone and internet subscription prices: www.telepriskollen.se In case you don t have Internet access, here is some advice: Before choosing the phone company for your land line, think about how often you make calls. Do you normally make evening and weekend calls or daytime calls? Do you often call mobile numbers? Do you often call abroad? Which countries? Do you make lots of short calls or fewer but longer calls? Think about your phone habits. Then compare the various companies prices for different times of day, their call charges to other countries, mobile rates, set-up charges, whether they have a minimum charge, etc. Then it s a case of finding the phone company which suits your phone habits best. A few tips: You can use one phone company for national calls and another for international calls. It s important to be able to contact the phone company, for example if there are any problems with your bills. Check that you can contact the company before signing up to a new provider. Do you want to be able to block certain numbers, such as 071 numbers? Check with the phone company first whether you can do this. Read the small print Go through the phone company s contract terms and conditions (the small print ) before signing up to a new provider. The terms and conditions set out what applies between you and the phone company. In the event of any problems, you should refer to the terms and conditions to find out what the situation is. Different phone companies use different terms and conditions with varying degrees of detail. The terms and conditions normally explain the circumstances under which you can terminate the contract. You should read these carefully before signing a contract. The terms and conditions also normally explain the circumstances under which prices can go up or down. Saying no to advertising This is how to avoid advertising: Advertising addressed to you Call Sema Group Info Data AB, telephone: 08-738 50 00, address: Box 34101, 100 26 Stockholm, or SWEDMA s Nix register, telephone: 020-55 70 00. Ask to be added to the list of people who do not wish to receive advertising matter addressed to them. You can also contact the company sending the advertising matter direct. Unaddressed advertising Attach a sign saying Nej tack ingen reklam ( No thanks no advertising ) to your letter box. You will still receive community information, such as municipality newsletters and free local newspapers. Telephone sales Call 020-27 70 00 and request written details of Nix-telefon by leaving your phone number. Along with the information, you will receive a registration code. You can then call 020-27 80 00 and enter the code. You can also write to Nix-telefon, Box 14038, 104 40 Stockholm, and request not to receive sales calls. E-mail advertising It is forbidden to e-mail advertisements to people who have asked not to receive any such advertisements. 9
Housing Buying under tenant-ownership Buying under tenant-ownership and joining a tenant-owner association involves buying the right to use a home. Tenant-ownership can apply to a flat, detached house, terraced house or link-attached house. The members of a tenant-owner association own the whole property jointly, i.e. the homes, all communal rooms such as laundry rooms, halls and refuse rooms, and any outside spaces and other premises such as shops, offices and garages. Tenant-owner associations are governed by their own law, the Swedish Tenant-Ownership Act. Joining The association s board approves new members. If you are not approved as a member, you can have this decision reviewed by the regional rent tribunal. This costs nothing. The association cannot deny approval without very good reason. For example, certain tenant-owner associations are for the elderly. But discrimination on the grounds of colour, religion or other similar factor is illegal. One household, one vote As a tenant-owner, you help to make decisions on who is elected to the board, the auditors, etc., and thus decide how the building is run. This is done through an annual general meeting. Each tenant-owner has one vote. The board The board is responsible for the association s finances over the accounting year, and ensures that the decisions made by the members at the general meeting are implemented. Charges Tenant-owners have to pay charges. The amount is usually split into twelve or four instalments, so that you pay monthly or quarterly. The charge is to cover the association s costs for the operation and maintenance of the property, as well as interest and loan repayments Maintenance funds The association is responsible for regularly putting aside funds for maintenance and repairs of the external walls, stairs, wiring, drains, etc. But the maintenance funds aren t always enough, so many associations borrow money for maintenance. The right household insurance One difference between renting tenants and tenant-owners is that tenant-owners have wide-ranging responsibilities in terms of maintenance. Household insurance therefore needs to be suitable for this, and cover not only personal property, but also fridges, freezers, stoves and other items such as window panes and doors which could be damaged in a break-in, fittings, etc. You will therefore need household insurance with extra tenant-owner cover! Termination If you pay the charges late and do not make amends, your tenant-ownership may be terminated. The association can then repossess your home and sell it to raise funds to cover the unpaid charges. Your tenant-ownership can also be terminated if you contravene the association s rules, such as rules on health, tidiness and behaviour. For example, your tenant-ownership can be terminated if you keep pets which foul indoors or if you disturb or threaten your neighbours. You must also carry out maintenance, which every member must take responsibility for. But if you follow the rules, maintain your home and pay your charges, you cannot lose you tenant-ownership rights. 10
Moving home Disputes between individuals and removals companies are quite common. If you employ a removals company, ask if they use Bohag 2000 (General Provisions for Removals). Bohag 2000 includes rules which the Swedish Consumer Agency has negotiated with the removals industry. Here are a couple of examples of what it includes: Fixed price First of all you should be given a fixed price. If you are given an approximate price, the actual price shouldn t be more than 15% more than this. Cancellation You can cancel up to fifteen days before the moving date. If you cancel later, levels have been agreed for how much you should pay. If you cancel due to illness, you are not liable to pay compensation. Bohag 2000 is available on the Swedish Consumer Agency s website, www.konsumentverket.se (search for Bohag 2000) 11
Debts If you don t pay Debts mount up quickly. For example, a debt with an annual interest rate of 20% will double in just four years. If you do nothing about the situation, it will only get worse. This is what can happen, step by step: Payment due date The first thing that happens is that the creditor (who you owe money to) sends an invoice (a bill). This states how much you have to pay and when (the payment due date). There is no rule that says you must be given 30 days in which to pay. If there are contractual terms and conditions giving a payment due date, this will apply. The contract will have ended once the business deal has been concluded. The contractual terms and conditions are often found in small print on the reverse of the contract. If you have not paid by the payment due date, you must pay when the seller demands payment. If you send payment via a post giro or bank giro account, it is safest to pay four days before the payment due date. Always check that the demand is in order. Do not approve this unless all charges are set out. Ask to see the documentation that the demand is based on. Keep all your receipts! Reminder If you do not pay on time, you will usually receive a reminder. The creditor may impose a reminder charge if this has been agreed in your contract. If you can t find any provisions relating to a reminder charge, the simplest thing is to ask the sender of the demand where it mentions the right to impose a reminder charge in the terms and conditions. The creditor isn t obliged to send a reminder, unless this relates to a type of parking fine called a control charge. It is therefore up to you to remember when the invoices need to be paid. Penalty interest If your contract says that penalty interest must be paid and a rate of interest is stated, then this applies. Penalty interest may be charged from the date stated in the agreement. This is usually after the last due date. If there is no contract, the provisions of the Swedish Interest Act apply. According to the act, the creditor is entitled to charge penalty interest one month after the day on which the demand for payment was sent. The credit agreement often says how much penalty interest the company will charge. If not, it may not be higher than the Riksbank s base rate plus 8 percentage points. Debt collection If you do not pay, the creditor himself may send a debt collection claim to you or employ an agent, often a debt collection company, to make you pay. The debt collection claim shall clearly state the amount owed, the rate of interest and the charge for the collection cost. If you cannot pay, you should immediately contact the person who sent the debt collection claim. It may be possible to agree a new payment plan, although a charge may be payable for this. The Swedish Debt Collection Act explains how debt collection should be carried out. According to the act, nobody should be subject to unnecessary costs or harassment. The Swedish Data Inspection Board shall ensure that this act is adhered to. The enforcement service takes over If despite the debt collection claim you do not pay, the creditor (who you owe money to) or the debt collection company may submit an application for an injunction to pay to the enforcement service. An injunction to pay is a decision from the enforcement service showing that you are liable to pay a claim. 12
Serving notice The enforcement service sends you a letter which you must sign for. This is called serving notice. The notice served states how much the creditor is demanding from you. You still have the opportunity to pay the debt. If you do, you should notify the enforcement service that you have paid. If you do not object, or if you do not respond, the enforcement service will confirm the debt and send their decision (a judgment) to you and your creditor. After this, the creditor may let the enforcement service collect the debt. The notice served and the judgment process means addition charges which you will have to pay. Record of non-payment of debt Once the enforcement service or the district court has confirmed the debt, a record of non-payment of debt will be recorded with various credit information registers. A record of non-payment of debt makes it difficult or impossible for you to borrow money, get credit cards, get a phone line or hire a care, TV or video for at least three years. It may also be difficult to rent a flat. Distraint (collection) The enforcement service can collect (carry out distraint) in a number of ways. The most common way is through deductions from your salary, pension, sickness benefits or other income (distraint on income). Credit information Credit information is information about your financial circumstances, which may help a creditor or landlord to make a financial assessment. All persons over the age of 15 living in Sweden are included in credit information registers. The Swedish Data Inspection Board monitors credit information companies. Anyone asking for credit information must have legitimate need for this, such as if they are in the process of entering into a credit agreement with you. Each time a credit information agency supplies information about a private individual, that person must be notified in writing about the information supplied. You are also entitled to find out, free of charge, what information is held about you on file. The request must be in writing and signed. Write to the credit information company and refer to your entitlement in accordance with the Swedish Data Act to an excerpt from the register. State your personal identification number, name and address. If you believe that any information held about you in the credit information register is incorrect or misleading, you should ask for a correction to be made. The company shall then promptly investigate the matter. If it turns out that the information is incorrect, the company shall correct it and notify all persons who have been given the incorrect information during the last twelve months. 13
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