Solving Problems With a Business: Returns, Refunds, and Other Resolutions (2024)

Disappointed by a product or service? These strategies and this sample complaint letter can help you get your money back or reach another resolution.

  • Go Back to the Store or Website
  • Write a Letter
  • Get Outside Help
  • Post an Online Review
  • Consider Dispute Resolution Alternatives

Go Back to the Store or Website

Before you go back to the store or website, learn about the company’s return policies and collect documents related to your purchase.

  • Look for return policies, deadlines, customer service numbers and other important information on receipts, product packaging, warranties, or the seller’s website.
  • Check deadlines. Many stores will not take returns or exchanges after a certain time, like 30 or 90 days. Promptly return your undamaged item to have the best chance of a refund, exchange, or store credit. You might have to contact the manufacturer to return a defective or damaged product after a seller’s return deadline.
  • Collect key documents. Gather your receipts, warranties, canceled checks, credit card statements, invoices, contracts, or other documents. Make copies of documents to give the business and keep the originals. If you go to a store, bring any tags and original packaging you have.

Tell the business what happened. Give details about the problem, and about the resolution you want.

  • Explain the problem. Is the product defective or damaged? Did you get poor service or repairs that didn’t fix the problem? Reputable businesses want to know about their customers’ problems so they can act and avoid future complaints.
  • Be clear about what you want. Say if you want a full refund, an exchange, a store credit, a markdown on the item you bought, or a percentage discount on a future purchase. Explain why you want that result. Sellers are often more willing to offer a store credit than a refund. It’s less expensive for them and keeps you as a customer.
  • Ask to speak with a manager. If a customer representative doesn’t offer the result you want, be calm, polite, and persistent. Ask for a manager or supervisor. A manager will likely have more flexibility and authority to resolve the issue. Explain the problem to each person you talk with and describe what you want them to do.
  • Keep notes about what you did to solve the problem. List the people you talked to, the date of your conversation, and what they promised to do. If you chat online or send forms to customer service, save a copy of what you wrote, or take a picture of the screen before you exit, and note the date.

Write a Letter

If you can’t resolve the problem by going back to the store or website, use this sample letter to write an effective complaint. When you write

  • Give your name, mailing address, and email address. Include your phone number too, if you want the business to contact you that way. Include your account number if you have an account with the business, and the related order or transaction number.

  • Give the basics. Describe the product or service you bought and important details of the transaction. Give the product’s name, its serial or model number, and the date and place you bought it or had it repaired or serviced.

  • Explain the problem. For example, say the product doesn’t work, you were billed incorrectly, something wasn’t disclosed clearly, or a product’s features were misrepresented.

  • Tell the business what you want. For example, say you want a refund, repair, exchange, or store credit.

  • Include copies of relevant documents , like receipts, repair orders, and warranties. Keep the originals.

  • Describe your next steps. Say how long you’ll wait for the business to answer. Give time for the business to act, and let it know you’ll report the matter to your state attorney general or state consumer protection office if you don’t hear by your deadline.

  • Make a copy of your letter to keep. Send your letter by certified mail and ask for a return receipt. If you send your complaint letter online, print the screen that shows your letter or take a screenshot of your letter before you click “submit.”

Get Outside Help

If you’re not satisfied with a business’s response to your complaint

  • Contact your state attorney general or state consumer protection office. These government agencies might mediate complaints, conduct investigations, and take other action against those who break consumer protection laws.

  • Contact a national consumer organization. Groups like Call for Action and Consumer Action try to help people with complaints.

  • Contact your local Better Business Bureau The Better Business Bureau is made up of organizations supported by local businesses. Local Better Business Bureaus try to resolve customer complaints.

  • File a report with the FTC. The FTC doesn’t resolve individual complaints, but your report helps law enforcement detect patterns and might lead to an investigation. Tell your story at ReportFraud.ftc.gov.

  • Visit USA.gov/complaintsto get information about filing complaints about specific types of products, steps to filing a complaint with a seller or manufacturer, links to product recall information, and more.

Post an Online Review

If you can’t resolve the problem and feel the business has been unfair, write an online review. The Consumer Review Fairness Act protects your ability to share your honest opinions about a business’s products, services, or conduct, in any forum, including social media.

It’s illegal for companies to threaten or penalize you for posting honest reviews. Many companies check social media and might reply if they see you’re dissatisfied with their response to your complaint.

Consider Dispute Resolution Alternatives

Many consumers and businesses use dispute resolution programs instead of going to court.

  • In mediation , a neutral third party helps you and the other party try to resolve the problem. However, it's up to you and the other party to reach an agreement.
  • In arbitration you and the other party might appear at hearings, present evidence, or question each other’s witnesses, although the setting is less formal than court. An arbitrator or panel makes a decision or award after you present your case. The decision might be legally binding.

Many dispute resolution programs are voluntary, so you decide whether to use them. But in some states, a court might order you to try mediation or arbitration. Some companies require you to use arbitration for disputes and give up your right to go to court. Check your contract or product packaging to see what a business requires.

Your state consumer protection office or bar association might be able to suggest alternative dispute resolution programs in your area.

Small claims courts can resolve many financial disputes. The dollar limits on claims vary by state, but some states set the limit as high as $25,000. The costs of using small claims courts is relatively low, the procedures are simple, and you usually don’t need a lawyer. Check with your local small claims court for information about how to file your lawsuit.

If all else fails, consider a lawsuit. You’ll be able to sue for damages or any other type of relief the court awards, including legal fees. A lawyer can advise you about your options.

Solving Problems With a Business: Returns, Refunds, and Other Resolutions (2024)

FAQs

Solving Problems With a Business: Returns, Refunds, and Other Resolutions? ›

Use active language in your communication. Instead of saying “Your case has been investigated” and “The refund can't be provided”, go for “I have carefully looked into your situation” and “We can't issue a refund according to our policy”. Make sure to show your customer that you've really investigated the case.

How do you convince customers if refund is not possible? ›

Use active language in your communication. Instead of saying “Your case has been investigated” and “The refund can't be provided”, go for “I have carefully looked into your situation” and “We can't issue a refund according to our policy”. Make sure to show your customer that you've really investigated the case.

How to handle returns and refunds? ›

Ready for Returns? Best Practices for Handling Customer Refunds
  1. Update your return and refund policy. ...
  2. Respond quickly to customer refund requests. ...
  3. Offer an online customer portal for refunds. ...
  4. Prevent fraud. ...
  5. Reduce your total rate of returns.
Mar 29, 2022

How to handle customer complaints on refunds? ›

  1. 1 Understand the policy. Before you respond to a customer complaint, make sure you understand the return or refund policy of your business and how it applies to the specific situation. ...
  2. 2 Listen and empathize. ...
  3. 3 Explain and offer alternatives. ...
  4. 4 Apologize and thank. ...
  5. 5 Learn and improve. ...
  6. 6 Here's what else to consider.
Nov 21, 2023

How do refunds affect a business? ›

Not only does a return result in lost revenue, but it also multiplies a retailer's carbon footprint, leaving our planet to absorb the costs. Returns can also have a negative impact on customer loyalty and customer lifetime value.

How to politely tell customers that they will not be refunded? ›

Be Polite But Clear
  1. Give a specific reason why you're declining the request. ...
  2. You may use apologetic language, such as "unfortunately," "regretfully," or "we are sorry we can't provide a refund on this occasion." However, your position should be clear and firm.
  3. Show that you've truly considered the request.
Jul 6, 2023

What to do if a business won't give you a refund? ›

Get Outside Help
  1. Contact your state attorney general or state consumer protection office. ...
  2. Contact a national consumer organization. ...
  3. Contact your local Better Business Bureau The Better Business Bureau is made up of organizations supported by local businesses. ...
  4. File a report with the FTC.

How do you deal with customers demanding refunds? ›

Acknowledge their request, show some empathy, provide a concise explanation on why you cannot issue a refund (whether it's old warranties, missing the refund deadline, the condition of the returned product, etc.), and offer an alternative solution, if possible.

What is the company procedure for dealing with refunds? ›

Striking a Balance When Handling Refunds
  • Clear refund policy communication. ...
  • Flexibility within refund policy parameters. ...
  • Prompt and transparent communication. ...
  • Offer alternatives. ...
  • Employee training. ...
  • Establish a clear refund policy. ...
  • Communicate clearly. ...
  • Empathize with the customer.
Feb 8, 2024

How do you handle unhappy customers and refunds? ›

Dealing With Unhappy Customers
  1. Step One: Adjust Your Mindset. ...
  2. Step Two: Listen Actively. ...
  3. Step Three: Repeat Their Concerns. ...
  4. Step Four: Be Empathic and Apologize. ...
  5. Step Five: Present a Solution. ...
  6. Step Six: Take Action and Follow Up. ...
  7. Step Seven: Use the Feedback.

How do I get a refund from a company that won't respond? ›

Try to contact the trader

If you can't contact the trader or they won't help, you can then ask your card provider or PayPal. If you paid through a Buy Now Pay Later provider, you should check their website to see if they can help.

How do you handle customer arguing about return policy? ›

Dealing with Angry Customers
  1. Remain calm.
  2. Try to see the situation from their perspective.
  3. Don't take it personally.
  4. Actively listen to your customer.
  5. Try to remove your feelings from the situation and look at it objectively.
  6. Repeat their issue back to them so you are clear and understand the situation fully.

What is the resolution of a complaint? ›

Complaint resolution refers to the process wherein complaints are recognized, and the parties concerned agree on an acceptable end for the situation. Complaints indicate a gap between consumer expectations and delivery. Sometimes consumer expectations or assumptions create a gap. Sometimes it's your company's fault.

Can a business reverse a refund? ›

Answer: Once a refund has been made, it is permanent.

Is it legal for a business to say no refunds? ›

Most retail stores allow you to return things you buy within a reasonable time for a full refund, credit, or an exchange. When a store clearly displays a limited or no-refund policy, however, refunds and exchanges are not required by law.

How do you explain no refund policy to customers? ›

A no refund policy informs your customers that all sales are final, and they shouldn't expect a monetary refund or replacement item even if they're unsatisfied with their purchase.

How do you say no refund to a customer? ›

The best course of action when declining refunds is to explain why you are declining one. Be concise and give specific reasons and you're less likely to lose faith or receive pushback from a customer. Reasons for declining a refund can vary.

How would you tell a customer that they are unable to receive a refund as they are outside of the cancellation window? ›

We regret to inform you that we have a no refund policy and cannot issue a refund for the product you have purchased on . While we understand that this is an inconvenience for you, our company policy states that an item purchased is eligible for a refund up to 10 days after its delivery.

How should I respond if a customer hasn t received a refund? ›

If the customer hasn't received a refund, most of the time, the delay is on the bank's end. Remind the customer that it may take a certain number of business days to process the refund, depending on the bank's conditions, and show your clear intentions to resolve the problem, in case the refund doesn't come through.

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