Best way to manage refundable deposits?

[aboderoc]

Hello! We are a furniture store and take refundable deposits (a lot of them) when people want to borrow upholstery samples to take home. Currently, we simply charge a fee as a sale and then refund it when the samples are returned. This is a poor solution for a few reasons: 1) Square no longer refunds fees, so we're out the fee every time, and 2) this triggers an automated coupon to drive follow-up purchases, which often means someone borrows a sample and then gets a coupon for 10% off their new living room. Currently, we've just abandoned the automation.

Does anyone have a good solution for offering refundable deposits that is more effective?

Thank you!

[maxpete]

@aboderoc thanks for your question here! @Twpchair tagging you because I feel like you might have a good solution here!

[Twpchair]

Hopefully, that helps, and if she responds I have templates of all of the return policies and rental. I can send her and she can put in their information and change it up a bit. 

[Twpchair]

Hello, I am a retail furniture store and we have a zero-return policy! 1. Our new furniture comes with a warranty to begin with and probably 75% don't fill out the paperwork or keep their receipts. While the guys are either loading up or scheduling a delivery or pick-up we do the warranty paperwork before they leave and I fax it right then. That stops that problem. 2. We stand behind our custom-built furniture or gently used sections 100% but in-store. If it's a custom-built table set a 1 year in-store policy to replace, fix, or a gift certificate and we get the old set back. 99% of my workers can fix it redo and resell it that takes care of that. Now, I have certain items people can rent. I either hold their card on file (which I hate to do) or charge them a cash deposit for X amount of days. Most of ours are weddings. We are very clear and tell them upfront that it's posted throughout the store and when they leave they get a copy of whichever they are doing and sign it plus whoever is working. In 12 years, not 1 issue. I decided from day 1 that we are too busy to deal with drama or returns when honestly 3/4 is minor silly things or the customer once they got it home realized it's too big or the color doesn't match my floor or decor type thing. We have 5 stars on all platforms because of being transparent and communicating. Good luck but you need to come up with a different return policy! It's a pain, and takes up your time and money. Good luck and keep us posted on which way or how you curb this.