ACCC action against The Bradford Exchange

The ACCC has launched legal proceedings in the Federal Court against The Bradford Exchange over claims it made false or misleading representations when advertising collectable coins and ingots, in breach of Australian Consumer Law.

Bradford, a global retailer of coins and memorabilia, allegedly misled consumers in more than 300 newspaper and magazine advertisements across Australia.

The ACCC alleges that many of Bradford’s advertisements gave the impression that consumers were purchasing a single collectable item. However, in reality, consumers received multiple items as part of an ongoing subscription—sometimes up to 24 items—and were charged accordingly.

Further, the ACCC claims that Bradford led consumers to believe they were only agreeing to purchase the single item featured in the advertisement, when that was not the case. Additional items in these collections were often significantly more expensive, with the first item advertised at $29.99 but subsequent items priced at $79.99 each.

According to the ACCC, Bradford applied direct debits or issued invoices for these additional items. Consumers who did not pay received follow-up invoices, some of which included a ‘reminder charge.’ Unpaid debts were ultimately referred to a collection agency, which added further fees.

“We allege that Bradford’s practices amounted to a ‘subscription trap,’ where consumers believed they were making a one-off purchase but were instead signed up for an entire series and charged for items they did not intend to buy,” said ACCC Commissioner Liza Carver.

Subscription traps occur when businesses mislead consumers into unknowingly signing up for subscriptions or make it difficult for them to cancel.

The ACCC’s case focuses on advertisements published between 1 January 2021 and 26 June 2023 in print media across Australia, including the Herald Sun, The Courier-Mail, Woman’s Day, and New Idea. These ads prominently featured images of a single coin or ingot—often with historical or nostalgic themes such as Queen Elizabeth II, World War I, Phar Lap, and the 1971 Ford Falcon—while displaying a single price without disclosing the total cost of the entire collection.

“Businesses must be upfront about subscriptions and clearly state the full price of the goods or services being offered,” Ms Carver said.

The ACCC has received numerous complaints from consumers who believed they were purchasing a single item but were later charged for additional products.

“We believe Bradford’s actions denied consumers the ability to make an informed decision. As a result, many ended up paying for items they neither wanted nor intended to buy, with some suffering financial distress due to unexpected charges,” Ms Carver added.