Why Square doesn't honor Seller's return policy?

[legendofql]

Why Square doesn't honor Seller's return policy?

We had an online sale for $2,950 and the buyer returned the used item long after our return policy allows it, we refused to refund the buyer, the customer disputed the charge, Square deducted $2,950 from our account and refunded the buyer. we ended up with damaged and used items.

usually, other merchant services honor the seller's return policies but in this case, Square did not.

is there any way we fight back?

[JK_Fiber_Art]

Hi Legendofql,

Sadly this is not just related to Square and most likely your protest will not be resolved in your favor - Square is a service that offers credit card purchasing services like PayPal, Stripe, etc., however, it has to do with the actual credit card issuers (i.e., MasterCard, Visa, Discover, etc.) and/or the Bank associated with the card's owner who makes the final decision.

There are some not so honest buyers out there so regardless of what your policies are, those policies can still be over ruled by the customer's bank and or the credit card issuer.  I believe that Square can defend your issue if the "card used" was issued by them however, it's not the same with other issuers. 

Have to say that Square is better than other services like PayPal who offer seller protection however, a not so honest buyer can simply claim the transaction was unauthorized - they state that they did not make that purchase and PayPal automatically refunds the buyer - the buyer gets the item and their money back - as the seller, you get a bit frustrated to say the least.   We know from personal experience.  Better to be a buyer than a seller with that service.

Other than saying it's part of the risk of doing business - it's kind of like shoplifting but, online - the good news is there many more honest buyers/customers out there than the few not so honest buyers/customers.   We've learned over the years that you can expect to take a hit and it is most frustrating for sure.

Just some thoughts from personal experience.  I'm sure that others here have different observations.  It would be interesting to hear about other experiences.

jk

[legendofql]

I have been in the retail business for over 25 years and over 10 years with paypal, never had this kind of experience.

[Donnie-M]

@legendofql I assume this was a online or not in person transaction?  If you have a large transaction like this the only real chargeback protection is tip/dip.  If you don't dip or tap the card in person, the other person's bank will find in their customers favor every time and you will be on the losing end, whether you have square or someone else as a processor.  That is the EMV shift that happened a while back.

You can fight back, if the customer was wrong, and didn't follow your policy, take them to small claims court, or turn them over to a collection company.

[legendofql]

Thank you Donnie, I have been in the retail business for over 25 years and never had any problem like this with other transactions. like paypal has some kind of seller protection, in this case, my only option is to take the buyer to small claim court.