A mum was shocked to find a $1,600 charge on her bank account just after Christmas. It turned out her 16-year-old son bought an iPhone using her debit card — without her permission. She tried to return the phone but the store said no, as the packaging had been opened and a SIM card installed. She took the issue to TDR.
The complaint
The customer wanted a full refund. She believed the store should have asked for ID before selling such an expensive phone to a teenager. She argued that since her son was under 18, he wasn’t legally allowed to enter into a contract like that, so the sale shouldn’t be valid.
She also raised concerns about how easily a minor was able to use someone else’s card without being questioned.
Next step
TDR looked into both sides of the story. The mum explained that while her son had been allowed to use her debit card for smaller purchases in the past, this big phone spend was definitely not approved. The provider said they followed standard retail practices — no ID is needed for one-off purchases, even expensive ones, as long as the payment goes through with the correct PIN.
TDR reviewed the evidence and considered fairness, relevant laws, and whether the store had acted reasonably.
Outcome
TDR decided the contract was valid, and the store didn’t have to issue a refund. The sale was considered fair and reasonable because: the teen used a valid card and correct PIN; the mum had previously let him use the card, so the store couldn’t have known this time was different; retailers aren’t required to check ID for phone purchases, even for minors; and the store’s refund policy was clearly displayed.
Lesson learned
If you let your kids use your debit card — even occasionally — it’s a good idea to set clear boundaries or limits. From a retailer’s point of view, it’s hard to tell whether a purchase is approved or not if the card and PIN check out.
Also, while contracts with minors can be challenged, they’re still enforceable if the deal is considered fair and reasonable — and in this case, it was.