Can you Charge a Restocking Fee on Refunds?

Can you Charge a Restocking Fee on Refunds?

Number1inDallas
Shopify Partner
4 0 0

We sell Large Ticket Built to Order Items.   (4000-$10000).   If a customer wants to return one, its hard because it was built for them, AND we loose out on the Transaction fee's that are not returned back from Shopify / Stripe.    

 

If we have it in our policy that we have a 10% restocking fee, and the customer disputes the transaction, can we loose the dispute?  

 

Any advice?

Reply 1 (1)

AchieveApplabs
Shopify Partner
220 10 13

Hi @Number1inDallas,

 

We’re working on returns and exchange workflow for our app and want to help figure this out.

Few ways one could solve this:

 

First would be If the order is refunded and approved then you would use an order adjustment to hold back 10%.

 

Second is to create a separate order for the restocking fee. So there would be two separate transactions. One for a full refund, then another to account for restocking fee.

 

Because the high value nature of the sale, I recommend using our app to approve orders and once the returns and exchange feature is ready use it for your restocking fee.

 

Link is here for Approovly - Order Approvals

https://apps.shopify.com/approovly-app

Sam @ Achieve Applabs.
https://achieveapplabs.com