When to give money back.
WHAT TO DECIDE IN ADVANCE
Your policy, written.
WHY IN ADVANCE
Deciding case by case under pressure produces inconsistency, and customers compare.
WHAT A REASONABLE POLICY COVERS
A period during which any customer may cancel and be refunded What happens on mid-term cancellation What happens when you failed to deliver
WHAT TO ALWAYS REFUND
Charges made in error Periods where the service was unavailable, materially Charges after a cancellation request
WHY THAT LAST ONE
Disputing it costs more than the amount, in time and reputation.
WHAT TO CONSIDER REFUNDING
A customer who clearly never used it and forgot to cancel.
WHY
The goodwill is worth more than one period's revenue, and the alternative is a chargeback.
WHAT CHARGEBACKS COST
The amount, a fee, and damage to your processing account.
WHAT TO DO TO PREVENT THEM
Make cancellation easy Send receipts and renewal reminders Respond quickly to billing questions
WHY RENEWAL REMINDERS SPECIFICALLY
Unexpected annual charges are the commonest cause of disputes.
WHAT TO STATE CLEARLY
Renewal terms, at purchase and before each renewal.
WHAT TO RECORD
Every refund and its reason.
WHAT TO REVIEW
Patterns, which indicate a product or expectation problem.
