Return policy
What is a return policy?
Return policy is the published set of rules defining when and how customers can return products for refunds, exchanges, or store credit. It specifies the return timeframe (typically 14-90 days), item condition requirements, shipping cost responsibility, refund methods, and product exclusions.
The policy sits between a merchant's commercial terms and the card schemes' dispute rules. Scheme rules require merchants to disclose their return and refund terms at the point of sale, and that disclosed policy becomes the document an weighs when a cardholder files a . In regulated markets it also has to clear a statutory floor: consumers buying online in the EU hold a 14-day right of withdrawal under the Consumer Rights Directive (2011/83/EU), whatever the merchant's own terms say. The US sets no equivalent federal return right, so state law and the merchant's published terms govern instead.
Key facts
- Also known as: refund policy, returns and refunds policy
- Typical return window: 14-90 days from delivery, set by the merchant and varying by category and market
- Covers: eligibility window, item condition, restocking fees, who pays return shipping, refund method, excluded product categories
- Statutory floor: 14-day withdrawal right for EU distance sales (Consumer Rights Directive 2011/83/EU); no federal equivalent in the US
- Linked dispute codes: Visa 13.6 and Mastercard 4860, both "credit not processed"
- Applies to: the entity of record for the sale, which for platforms and resellers is the rather than the underlying seller
Types
Return policies are usually categorised by the remedy the customer receives. A single catalogue often applies several at once, one per product category:
- Refund to original payment method – the purchase amount goes back to the card used, appearing as a on the cardholder's statement
- Exchange only – the item is replaced with the same or an equivalent product, and no money moves
- Store credit only – value is retained on account, which keeps the cash inside the business
- Partial refund with a restocking fee – a percentage is withheld to cover handling and resale loss
- Final sale – no return accepted, typically applied to perishables, personalised goods, opened media, and clearance stock
How it compares
Merchants selling digital goods or services usually publish only a refund policy, since there's nothing to send back. The distinction matters when a support agent has to decide which rule set applies to an incoming request.
| Term | Covers | Triggered by |
| Return policy | Physical goods sent back to the merchant | Customer ships the item; the refund or exchange follows receipt and inspection |
| Refund policy | Money returned for goods or services | A is issued, with or without a physical return |
| Cancellation policy | Orders not yet fulfilled and recurring plans | Customer halts an order pre-shipment or stops future billing |
Why it matters
- A published return path gives the cardholder somewhere to go before their bank. A customer who can't get a refund from the merchant files a instead, and the dispute fee is charged whether or not the case is later won.
- The disclosed policy is the evidence base in a credit-not-processed dispute (Visa 13.6, Mastercard 4860). The merchant's response rests on showing the terms were visible at the point of sale and that the request fell outside them.
- Restrictions that were not disclosed before purchase tend to be overturned. Final-sale wording or a restocking fee revealed only in the shipping confirmation gives the issuer little to weigh against the cardholder.
- Condition requirements and a defined window narrow exposure, including wardrobing, where an item is used and then returned as new.
- The policy is disclosed at checkout, in order confirmations, and on a dedicated policy page. Issuers look for exactly these placements when assessing whether the cardholder had notice, so the location of the disclosure carries as much weight as its wording.
