Dollar-stores overcharge cash-strapped customers while promising low prices
4 days ago
- #consumer rights
- #retail pricing
- #economic inequality
- A state inspector found numerous price discrepancies at a Family Dollar store in North Carolina, with 23% of items scanned ringing up higher than the shelf price.
- Dollar General and Family Dollar have failed thousands of price-accuracy inspections across multiple states, with some stores showing error rates as high as 76%.
- Overcharging at dollar stores disproportionately affects low-income customers, who often don't notice the discrepancies due to chaotic checkout environments.
- Understaffing and labor practices contribute to pricing errors, as employees lack time to update shelf tags despite automatic register updates.
- Some stores engage in deceptive pricing tactics, such as fake sales that don't actually lower the item's price.
- Legal actions and settlements have been pursued in multiple states, but penalties often don't incentivize stores to correct pricing issues.
- Dollar stores thrive in economically distressed areas, often becoming the only retail option, which exacerbates the impact of overcharging on vulnerable populations.
- Customers and employees report frustration with the lack of corrective action and the refusal of some stores to honor shelf prices at checkout.
- Despite settlements and promises to improve, both chains continue to fail inspections, indicating systemic issues within the industry.