Be Wary of Refurbished Smartphones, Says the Consumer Fraud Authority

In France, the consumer fraud authority is advising caution when buying refurbished smartphone, here's why you should be take notice.

The DGCCRF in France (Directorate-General for Competition, Consumer Affairs, and Fraud Control), which functions similarly to the U.S. Federal Trade Commission (FTC) has investigated refurbished phone sellers and has raised concerns.

They found that many sellers of refurbished mobile devices often cut corners on inspections and refurbishing standards, leaving consumers with faulty products. U.S. consumers should be aware of similar risks in the growing refurbished electronics market here.

As inflation and the push for sustainable consumption grow, refurbished products are gaining popularity in both the U.S. and Europe. In France, 20% of smartphones in use in 2024 will be second hand, up from 7% in 2018. The appeal is clear: refurbished smartphones offer a cheaper, eco friendly alternative to new devices. However, with this growing demand comes questionable practices, and the concerns raised by the investigation are relevant to U.S. buyers, too.

The investigation looked at 131 businesses, including online retailers, second hand stores, and major chains, revealed widespread non compliance with regulations. Many sellers skipped key inspections, doing only superficial checks rather than thorough tests required by law. Even when critical parts like batteries or screens needed replacing, these deeper tests were often ignored, misleading buyers about the device's true condition. The lack of traceability for replacement parts also raises concerns about quality, which U.S. buyers should keep in mind.

Misleading advertising is another issue. Terms like "like new," "refurbished," "grade A," or "100% functional" vary widely between sellers, making it hard for consumers to gauge a product's real condition. Some sellers also misuse the term "certified," implying independent verification, when it often refers to internal checks that don't meet official standards. U.S. consumers face similar issues and should be wary of such labels.

The same risks with buying refurbished products exist in the U.S. and consumers should research sellers, verify warranties, and ask for detailed product information before buying a refurbished device.