H&M Introduces $3.99 Fee Amid Extended Holiday Return Policy

H&M has updated its return policy for the upcoming holiday season, extending the return window until January 31, 2026. However, this change comes with a new $3.99 fee for customers returning online purchases by mail, sparking outrage among many shoppers.

This season’s return policy applies to purchases made between November 1 and December 25. Customers can return items with a legitimate receipt for a refund to their original payment method. If items were purchased with a gift card or only have a gift receipt, customers will receive store credit instead. This credit cannot be converted back to cash but can be used for future purchases.

To return items, customers must ensure that the merchandise is in “resellable” condition, meaning all original tags and labels must remain attached. H&M reserves the right to reject returns if items appear worn or damaged. In-person returns can be made at approximately 500 H&M locations across the United States, excluding Puerto Rico. For online orders, customers can choose to return items by mail or in-store, with the notable exception of items from H&M Home, which must be mailed back.

Certain products are designated as non-returnable, including hosiery, underwear, swimwear without hygienic seals, opened cosmetics, earrings, face masks, and gift cards. Additionally, items marked with red stickers in-store are also classified as final sale. Damaged orders must be returned to a warehouse rather than a physical store.

New Fees and Industry Trends

The introduction of the $3.99 fee for mail returns reflects a broader trend among retailers as they prepare for increased sales during Black Friday and Christmas. Many companies are implementing stricter return policies and charging fees for mail-in returns to manage costs associated with returns. This trend is notable among retailers such as Abercrombie, American Eagle, J.Crew, Macy’s, and Kohl’s, which have also adopted similar charges for mail returns, generally ranging from $5 to $10.

For comparison, Macy’s has introduced a $9.99 fee for certain returns, while Kohl’s has implemented a 15% “restocking fee.” Recently, GameStop added a $14.99 return fee, and JCPenney customers may face an $85 pick-up fee on some returns. This shift suggests that the convenience of “free returns” may soon be a thing of the past, leaving customers to factor these additional costs into their holiday shopping budgets.

Implications for Shoppers

With many shoppers beginning to purchase gifts earlier to take advantage of discounts and manage expenses, the new fees could significantly impact their holiday budgeting. While the extension of the return window may initially appear generous, the added costs could lead to frustration for consumers. Many shoppers, increasingly reliant on credit cards and Buy Now, Pay Later plans, may find that the cumulative effect of these fees adds unexpected financial pressure during the holiday season.

As retailers adjust their policies, it is essential for consumers to stay informed about the terms of returns to avoid potential surprises. The landscape of holiday shopping is evolving, and understanding these changes will be crucial for managing expectations and expenses.