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Hyundai reaffirms commitment to uphold consumer rights

Posted: 9 February 2018 10:05 am

The ACCC found "industry-wide issues" with car manufacturers.

Hyundai Australia has entered into a pledge with the Australian Competition and Consumer Commission (ACCC) to self-review its warranty policies and complaints handling procedures.

The move comes after an 18-month long study conducted by the ACCC. Its findings showed that many car warranties leave buyers with fewer rights than those automatically applied by standard Australian Consumer Law.

According to ACCC Chairman, Rod Sims, the report identified “industry-wide issues with the way car manufacturers were handling consumer guarantee complaints."

"The Australian Consumer Law provides automatic rights to consumers and imposes obligations on manufacturers and dealers that cannot be excluded, restricted or modified," he said.

In August 2017, the ACCC revealed that it had received 10,000 complaints from buyers regarding new car purchases. In the past, the ACCC has taken action against both Ford and Holden after it was discovered the companies had mishandled complaints. It’s no wonder 20.3% of us would rather visit the dentist than go through the process of purchasing a new car.

Hyundai has entered into this working partnership to proactively improve its consumer guarantee policies. It is legally binding and court enforceable. Specifically, the company has promised to do the following:

  • Notify all new customers of their consumer guarantee statutory rights
  • Review complaints received in the last 12 months
  • Evaluate its complaints handling system
  • Analyse its dealer practices for compliance with the ACL
  • Provide consumers with online technical and safety bulletins

Sims said he hoped other brands would follow the example set by Hyundai.

“More broadly, the car industry needs to lift its game in handling consumer guarantee complaints. The ACCC calls on other car manufacturers to follow Hyundai’s lead by providing similar formal commitments."

Just 36% of new car buyers say they are entirely satisfied with their dealers’ response to problems. If you’re not satisfied with dealers' attempts to rectify vehicle problems, there are specific laws in place to protect you. We produced a "lemon car" guide that will help you understand your consumer rights and how to go about making a complaint.

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