Amazon India is ending its return policy and is now introducing a replacement only policy for smartphones.

The online retailer has updated its Returns & Refunds policy, which now states that all phones that are fulfilled by Amazon and purchased after Feb. 7 this year will be eligible for "a replacement only policy."

"Mobile phone items that are fulfilled by Amazon will no longer be eligible for refunds. In case you have received a defective or a damaged mobile phone, you will be eligible for a free replacement," says Amazon. Customers have to notify Amazon within 10 days of delivery to get a replacement of their smartphone.

The altered Amazon policy is applicable only to smartphones purchased from the online retailer and does not apply to any other product such as electronics, video games, software and tablets.

Market experts suggest that consumers have been abusing Amazon's return policy, which made the online retailer change its policy.

According to reports, instances of mobile phones purchased online being returned to sellers have been on the rise in India. Purchasers have been giving flimsy excuses for feturning their mobile devices. The report also highlights that some users would also use a brand new phone for a few days and then return it to sellers.

Customers on Flipkart, another online website in India, can get a 30-day return period for the Gold Huawei Nexus 6P, for instance, if the product received by the customer is not what is described on the website, defective or damaged. The term of purchase on Flipkart suggests that a customer is eligible for a refund only when the seller cannot offer a replacement.

Snapdeal customers face one of the toughest electronics return policy. They cannot just return their purchased item if they are not satisfied with it. The online retailer offers return or replacement of a product only once the customer visits the products' authorized service center and obtains a confirmation that the product is defective. Snapdeal's policy is at par with many other offline retailers' replacement guarantee.

In the U.S., many online retailers charge a percentage of the purchase price as restocking fee, which is determined by the reason for return and the condition of the item returned. Some stores also offer an in-store credit for the purchase price of the product return as a mode to discourage those who want to abuse the system.

Indian online retailers have not adopted such strict return policy. However, higher return rates in India may cause retailers to adopt return policies (as present in the U.S.) sooner than later.

Photo : Mike Seyfang | Flickr