How do refunds and cancellations work for donations?

Created by Shop for Good Support, Modified on Tue, 21 Nov 2023 at 08:14 AM by Shop for Good Support

We process only full refunds for orders. Partial refunds are ignored by our system and the donation stays intact. As soon as invoices are created on our side come invoicing time (3rd business day of the month), no refunds are allowed for orders in these invoices. It is because by that time, we have already started processing the donations and the donations have already been sent to the charities. 



Partial Refunds vs. Full Refunds

 

Any donation amount we captured upon order creation, stays intact for partial refunds. Full refunds or cancellations will not be charged to your account if it was done before the donations are sent to the charities.

  1. CUSTOMER DONATIONS – These donation products are generally non-refundable. As a best practice, you can be transparent in your donation promotions and assets to communicate that donations are non-refundable.  
    1. This means that for partial refunds, the store cannot give the money back to the customer just for the donation. If your customer asks for a donation refund, please contact us immediately so we can avoid charging you for it come invoicing time and you can process it back to the customer.
    2. If the customer completely cancels or refunds the full order, our system will track it as such and you won't be charged for the donation come invoicing time.
  2. PORTION OF SALES (BRAND DONATION) – Technically, there is no donation to refund customers. And in the case of partial refunds where some products are returned, we don't recalculate the donation amount that we send to the nonprofit. Customers get a complete refund amount for the products because the donation tied to it is coming from the brand and not the customer. Here are two scenarios for Portion of Sales donations:
    1. Customer buys 2 products for $100 and the Portion of Sales donation is $10. If Customer returns one of the products, they will get $50 back (+ shipping, handling, taxes), but the store will still be charged for $10 donation anyway. Customer gets a partial refund but we don't recalculate and refund the donation.
    2. In case Customer returns both, they get the full refund, and we recalculate and do not charge your account for the donation. No amount stays with us. (Unless it is after the 3rd business day of the month.)

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