Goodbye free online returns! Shoppers urged to double-check refund policies on Christmas shopping - 4 in 10 retailers now charge for mail-in returns including $12 at TJ Maxx

The era of free online returns is coming to an end as a host of retailers pull back on the service. 

Ahead of the Christmas holidays, shoppers are being urged to double check the refund details on all of their online orders. 

Some 40 percent of companies are charging for returns this year, according to a report by retail company Narvar. The fees are predominantly applied to online orders returned via mail.

And they can be upwards of $10. Analysis of a select number of brands found T.J. Maxx was charging the highest return fee of $11.99 while Zara offered the cheapest, at $3.95.

It marks a significant shift in attitudes from retailers who have competed for customers by offering ultra-convenient, hassle-free services. 

But there have long been concerns shoppers exploit the option of free returns on online orders - by scooping up dozens of products knowing many will be refunded.

Data from the National Retail Federation (NRF) shows around 16 percent of sales were returned last year, up from 10.6 in 2020. In all, the NRF estimates these refunds cost retailers $800 billion.

Retail analyst Neil Saunders, of Global Data, told DailyMail.com: 'We see consumers often using the home as a fitting room. They buy lots of clothes knowing some will be returned. 

'Now businesses are trying to make consumers think more carefully before they buy.'

He added: 'This year has been very difficult for retailers and there is a lot of pressure on them to reduce costs.'

When a customer returns a product via mail there are several costs incurred by the retailer. 

These include the upfront mailing fee as well as logistics, processing and repackaging fees. The NRF estimates that a retailer pays $33 for every return they facilitate.

While no retailers pass on this full cost to the consumer, some charge more than others.  

For example, Zara, American Eagle Outfitters and Urban Outfitters all charge $5 or less for a refund. Urban Outfitters calls it a 'restocking fee.'

Meanwhile H&M charges $5.99 for a 'return shipping fee' for its non-loyalty members. Shoppers can return online orders in-store for free. 

T.J. Maxx, which charges the highest amount of $11.99, calls it a 'shipping and handling fee.'

Similarly DSW calls its $8.50 charge a 'shipping fee' while Rei Co-Op says its $5.99 fund it used to cover 'shipping for standard size/weight packages.'