Can a business charge a restocking fee on a charge-back when the item ordered has not been delivered and is beyond the scheduled delivery date?”

Can a business charge a restocking fee on a charge-back when the item ordered has not been delivered and is beyond the scheduled delivery date?”

A restocking fee is a charge that a merchant collects from customer in the event of reverse shipping. Many merchants ensure that they mention the restocking fee and its condition in the terms/shipping policy page. This policy stays with the merchant acquirer and thus in the event of returns or chargebacks where the product is being shipped back the merchant may pull the restocking fee.

It may be an option but is not recommend.

You may be able to get the restocking fee from the card user however you must know that the card holder has not received the product. In most cases the card user will be disappointed and may post bad reviews on internet.

Think it like this. You visiting a pizza store and you are almost done but suddenly the restaurants staff by mistake spills some coke on it. The manger will most probably offer a free pizza. This is done to avoid any negative word in the market.

Despite of all the above explanations use your judgements and do the right thing.

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Hоw tо Calculate A Chargeback Ratio?

A business’s chargeback ratio is the total number of chargebacks per month divided by the total number of transactions. The dollar amount of the chargeback