Refunds - question

[maxwell_1]

Hi, I am a fairly new seller on this platform, I just have a question.

In a situation where I offer flat rate shipping or calculated shipping for instance and someone buys something from my eBay store, I ship it, and then later on the customer wants a full refund including the shipping price they paid for. Am I obligated to refund them the amount in FULL as in the shipping amount included? Even though that money was used to buy the shipping label? Or would I only refund the full amount of the item sold? Im just wondering about that and can’t find the answer anywhere. 

[tree*fern]

Hi @maxwell_1  Yes, in most cases you're obligated to refund in full, including shipping amount:

• If the package tracking shows the item was never delivered, you must refund the full amount including shipping. You (not the buyer) can make a claim to USPS for lost package. 
• If the item is returned because it was damaged in shipping, or is not as described or faulty, then you must refund the full amount including the original shipping, plus you pay the return shipping cost.

When a buyer files a return & refund through eBay, if you don't want to pay the return shipping cost, you can choose to refund in full including original shipping, and let the buyer keep the item.

Your return policy that says the buyer pays for return shipping only applies to returns for fit or changed their mind.  EBay's Money Back Guarantee overrides that policy for all other types of returns for refund.

The only time you don't have to refund original shipping cost is if the buyer gives a wrong address or refuses the package (unless it arrives postage due), and USPS returns the package to you. In that case you only have to refund the item price, not the shipping cost.

Note: Always reply to a return case before the deadline, and never ask eBay to "step in" and help. If you miss the deadline, or ask eBay to step in, you'll receive a transaction defect for "case closed without resolution." Since you're a new seller, that would severely impact your account. If you haven't already, make sure you know all the rules for seller performance and avoiding transaction defects.

More info about returns and refunds:
https://www.ebay.com/help/selling/managing-returns-refunds/manage-returns-missing-items-refunds-sell...

About transaction defects and seller performance:
https://www.ebay.com/help/policies/selling-policies/seller-performance-policy?id=4347#cases

[tree*fern]

@maxwell_1   To add:   Your return policy that says the buyer pays for return shipping only applies to returns for fit or changed their mind. If they return it undamaged, you must refund in full including the original shipping cost.

Here's eBay's guideline for when and how much you can deduct from a refund. You cannot deduct the shipping cost from the refund:
https://www.ebay.com/help/selling/managing-returns-refunds/handle-return-request-seller?id=4115#refu...