You may have encountered an issue with your Amazon order, which led to a refund of more than the amount you originally paid.
This additional amount is called the Amazon goodwill refund, and it is their way of compensating for failing to fulfill your order.
In this article, I’ll provide detailed information on what it is and how it works. I’ll also discuss how much you can expect to receive if you find yourself in a similar situation.
Let’s get started.
What Is the Amazon Goodwill Refund?
The Amazon Goodwill refund is an additional reimbursement amount provided by Amazon on a case-by-case basis in the event of poor customer support, delayed or incorrect shipment, or other events of a similar nature.
It’s also referred to as “Amazon Customer Service” or “Amazon Guarantee.”
The refund amount depends on the scenario, but the main objective behind these refunds is to encourage shoppers to continue buying from Amazon.
Amazon may offer you a Goodwill Refund if:
- You received an item that was damaged or defective, not how it was described on the product page.
- You didn’t receive your order or received an incomplete order.
- You received your order after the promised delivery date.
- You experienced an issue that impacted your order experience.
How to Apply for Amazon’s Goodwill Refund
Although customers cannot explicitly request goodwill refunds, step one is to contact Amazon Customer Service to file a complaint. It can be about any aspect of your shopping experience that was less than satisfactory.
If you need an answer right away, use the live chat feature. It’s faster than waiting for an email or a phone call.
To file a complaint, sign into your Amazon account and do the following:
- Click on Your Orders
- Locate the order you wish to write a complaint for
- Select Problem with order
- Choose the kind of problem you had with the order from the list
- Click on Request refund
- Fill out the text box with your comments
- Click Submit refund button
You don’t need to play the sympathy card. Simply write a genuine complaint and request a refund.
There is no guarantee that every customer who asks for a refund will get an additional amount. Amazon evaluates each claim individually to determine if it is eligible for a goodwill refund.
Amazon Goodwill Refund Policy
Amazon’s refund policy explains the types of refunds, the time it takes for your funds to be accessible, and the item’s refund percentage.
If, for some reason, you’re not happy with your purchase, you can submit a refund request within 30 days of the original purchase date.
Amazon’s refund process works as follows:
- Contact Amazon’s customer service team
- Provide proof of purchase documents (receipts, order confirmation emails, order IDs, etc.)
- Request a refund
- Wait for Amazon to issue a refund
- Send the product in its original packaging back to Amazon
- Amazon will issue a refund to the buyer when they receive the item
The refund amount will be dictated by the item’s condition and time of receipt.
1. Returned Within the Specified Timeframe and in the Same Condition
Amazon offers a 100% refund rate refund policy for unopened items returned within 30 days.
2. Return Period Expired, but the Item Is in Its Original Condition
If the item is still in the same condition you received it in but the return period has passed, you will be refunded 80% of the purchase price.
3. Damaged or Broken Item
If Amazon is at fault for any damage, you will be entitled to a full refund. If you’re at fault, you’ll get a 50% refund of the product’s price. The same goes for missing parts.
4. Returned While Opened
Movies and music on DVD or CD media qualify for a 50% refund. However, since they are refunding basic order costs, extra costs such as shipping, restocking, and taxes may be deducted from the refund amount.
Check the system requirements before purchasing any software or video game. Amazon will not refund it once it has been opened.
5. Lost Item
If you haven’t received your order more than a month after it was dispatched, contact customer service. They will investigate the situation and either give you an order refund or replace the item.
Amazon Account Adjustment
You may unexpectedly receive a notification informing you of an Amazon refund. Amazon account adjustments are initiated by Amazon or Amazon sellers when they cannot fulfill the customer’s order for various reasons, such as damage to the item and shipping delays.
Seller performance concessions are quite common among beginner sellers.
Suppose a buyer orders an item that is currently out of stock because of short supply. Instead of holding the buyer’s funds, the seller returns them until the next batch of items arrives. This allows the customer to place another order once the item is back in stock.
The goals of this refund type are to:
- Encourage sellers to stay on the same page as their manufacturers and suppliers
- Increase customer loyalty
- Protect the buyer from fraud
It’s easy to tell if Amazon has issued you an account adjustment. As mentioned above, Amazon will notify you of such an event. It’s also possible to receive an alert from your bank informing you of the transaction.
The full details regarding the refund can be found in the order details in your Amazon account.
Amazon Return Shipping Concession (ARSC)
Amazon return shipping concession (ARSC) is a program that allows vendors to compensate buyers for order issues without refunding the entire order amount.
Full and partial refund options are available under Manage Orders, allowing sellers to make buyers’ concessions.
When issuing concessions, issue both a buyer memo and a seller memo. The buyer memo informs the buyer of the circumstances behind the refund, while the seller memo is for reference purposes.
The Payments Summary page shows concessions in the Other line item. In the Summary view, the Other line item shows refunds for order costs like shipping that are not displayed separately. Shipping refund and return shipping concession for the same order will be added together in the summary.
In the Transaction Details screen, Other refund amount shows how order refunds and concession amounts were split up.
Use the Refund view in Manage Orders to see an order’s concession amounts. The Partial Refund view shows how much was refunded or given as a concession.
By returning to the initial refund page in Manage Orders, you can verify what order and concession amounts have been given to the buyer and the remaining amounts. Concession amounts will be charged from the seller’s account.
In the event of negative account balances, you can resolve them in any way your selling agreement allows.
In your seller performance metrics, concessions have nothing to do with refund percentage. When one or more items in an order are fully refunded, the whole order is considered a refunded order and is factored in your refund.
Here are some examples of return shipping concessions:
- When a buyer receives a defective item, the seller absorbs the cost of returning the item.
- In the case of a damaged item, a seller covers the return shipping charges and gives a full refund once they receive the item.
- If a customer receives an item in a different color than what they ordered but is still willing to keep it, the seller may decide to offer the customer some compensation as a gesture of goodwill payment.
Here’s an image illustrating the partial refund details, including the item type.
FAQ – Frequently Asked Questions
How Long Does Amazon Take to Refund Money?
Amazon-shipped products will be refunded and confirmed through email within 14 days. To find out the refund status, navigate to Your Orders and click on View Return/Refund Status next to the order in question.
How Many Returns Does Amazon Allow?
There is no set return limit on Amazon. However, Amazon may detect an unusually high number of returns from your account if you return 5-10 items or more per month. They will advise you to revisit their return policy. If you continue returning items after receiving this warning, your account may be suspended or even banned.
How Can Amazon Reimburse a Used Item With Little Resale Value?
Amazon’s easy return policy brings in more than enough goodwill funds to compensate for the money they lost on your sale. At the very least, they’ll cover basic order costs by offering warehouse deals on such items.
Customers will then be more likely to return and recommend Amazon to others because of their good experience on the platform.
Bottom Line
Amazon strives to provide a great online shopping experience to keep its customer base constantly growing. This is why they have programs like the goodwill refund.
But as helpful as the goodwill refund amazon may be, it’s still best to avoid refund situations as much as possible. So if you’re a seller, take proactive steps to minimize them. It also pays to be well-informed on Amazon’s return policy for sellers.
