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Dispute Resolution Policy

  • Updated

Contents

  1. Disputes Process Overview
  2. Dispute Reasons
  3. Merchant Evidence Examples
  4. Resolution
  5. FAQs

 

 

Disputes Process Overview

When a customer encounters issues with a purchase and can’t reach the merchant to resolve their issue directly, they may submit a dispute through Affirm. In these cases, Affirm will step in to review evidence and determine if the merchant or customer is responsible for repayment of the underlying financial instrument that funded the purchase. 

 

The resolution process is as follows:

  1. Customers may open a dispute any time after shopping with you and are not limited to a post-purchase deadline. Customers are not responsible for making payments while the dispute is open, and Affirm withholds the disputed amount until the dispute is resolved.
  2. The merchant will be notified of the dispute via email and guided with relevant instructions to respond. The email notification will specify the deadline by which you must respond. Typically, you have 15 days from when you’re notified of the dispute, but reminders will also be sent 7 days and 1 day before the due date.

 

Affirm will review the evidence provided by all parties and determine if the merchant or customer is responsible for repayment of the underlying financial instrument. The adjudication outcome will be communicated to both the customer and the merchant within 15 calendar days of evidence collection. Card network processes may differ from this policy.

 

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Dispute Reasons

Customers may initiate a dispute for various reasons. The dispute reason will be listed in the email notice you receive and may include the following:

  1. My purchase was never delivered or was delivered later than promised.
  2. My purchase was damaged, is misrepresented, or the quality does not meet my expectations.
  3. My cancellation or refund was not processed. 
  4. The cost of my purchase is incorrect or I’m seeing a duplicate payment plan.
  5. My loan agreement/merchant contract was breached.

 

Note: Evidence is not required of the customer for purchases never delivered or purchases delivered later than promised.

 

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Merchant Evidence Examples

The table below shows common examples of evidence that a merchant may share to counter a customer dispute.

 

Dispute reason Examples of merchant rebuttal evidence
Product not received
  • Proof of delivery by a carrier including the date the item was shipped, the recipient's address, and proof that the recipient's address matches the address provided by the customer at checkout. Examples include shipping/tracking details from UPS, DHL, FedEx, Evri, Royal Mail, Yodel, DPD, or another carrier that show the product(s) arrived at the correct address. 
  • A formal claim you filed with your shipping carrier regarding incorrect, improper, or failed delivery.
Product unacceptable
  • Proof that the product delivered to the customer was not materially different from the advertised product. 
  • Proof of a genuine product or certificate of authenticity provided by the issuer or sealed by a reputable appraiser or auction house.
Cancelation or return not processed
  • Copy of your standard refund/return policy including screenshots, if posted on your website.
  • Statement showing your refund/return policy, exceptions, and reason the customer did not qualify for a refund/return.
  • Proof of delivery to the customer.
  • Proof showing the customer did not return the product.
Incorrect charge
  • Screenshot of website or other documentation reflecting the price of the product advertised on the date of purchase.
  • Itemised invoice reflecting all taxes, shipping charges, and discounts that were applied to the customer's purchase.
Duplicate charge
  • Screenshot of your website or other documentation reflecting the price of the product advertised on the date of purchase.
  • Itemised invoice reflecting all taxes, shipping charges, and discounts applied to the customer's purchase.
Other
  • Copies of relevant policies and procedures, proof of delivery, an affidavit regarding the product or service in question, itemised invoices, and any other evidence.

 

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Resolution

Affirm will resolve all disputes in favour of the party that best substantiates their claim(s). If Affirm resolves a dispute in favour of the merchant, the merchant will not be liable for any amount of principal or interest related to the disputed transaction. Any funds withheld related to the disputed transaction will be released.

 

Note: Affirm may alter a previous decision after further review and based on evidence available, whether during or after the term of the applicable Merchant Agreement.

 

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FAQs

What happens when a dispute is adjudicated in my favour? 

If Affirm resolves a dispute in your favour, you won’t be liable for any amount (of principal or interest) related to the disputed transaction. Any funds withheld related to the disputed transaction will be released. 

What happens when a dispute is adjudicated in favour of my customer?

If a dispute is resolved in favour of your customer, Affirm will refund the disputed amount to the customer. In such a case, the merchant will be responsible for reimbursing Affirm for the amount refunded. 

Can I update the amount I refunded my customer?
Processed refunds are not reversible. Be sure to confirm the refund amount before submitting. If you'd like help refunding your customer an amount other than what is being disputed, contact resolutions@uk.affirm.com.

How can I view the evidence provided by the customer?

After navigating to the Dispute Detail Page, click on the file(s) under the Attachments section which will trigger a download to your device.

How long do I have to respond to a dispute?

The email notification and Disputes Detail Page will specify the deadline by which you must respond. Typically, you have 15 days from when you’re notified of the dispute. Reminders will also be sent to you 7 days and 1 day before the due date.

Once I submit evidence, when can I expect to hear back?

Affirm will review the case and communicate our resolution decision via email within 15 days of receiving evidence from you and the customer. You can also view the adjudication decision in your Disputes Dashboard under the Status column or in the individual Dispute Details Page. 

Why might a dispute omit customer evidence?

After navigating to the webform, you’re able to click each line item under the Overview > Customer Evidence section which will trigger a download to your device. Note: Not all cases will include information uploaded by customers but may only provide an explanation of the dispute.

Why are there disputes listed in my Settlements Report that I didn’t receive email communications for?
Affirm only sends you a dispute initiation notice when action is required from you. As such, you may see disputes populating in your report while we gather more information from your customer after they initiate the dispute and before we request your response.

How should I manage my disputes if I have multiple stores/accounts with you?

An aggregate Disputes Dashboard view is not currently available.

To manage your disputes, navigate to the individual store within your Merchant Portal to view associated disputes by clicking your business name in the upper left corner under the Affirm logo. Then, click Disputes within the left side bar to view disputes connected to that store and take action.

I don’t agree with the decision made by Affirm regarding a dispute, what should I do? 

Adjudication decisions made by Affirm are final.

Customers who disagree with Affirm’s adjudication decision can refer their complaint to the Financial Ombudsman Service (FOS). The Financial Ombudsman Service is a free and easy-to-use service that settles complaints between consumers and businesses that provide financial services. The FOS resolves disputes fairly and impartially, and has the power to put things right.  

The Financial Ombudsman Service was set up by Parliament to resolve individual complaints between financial businesses and is a free, independent service that looks into disputes between financial businesses and their customers. You can find out more or contact FOS directly using the contact details below.

FOS contact details:

The Financial Ombudsman Service
Exchange Tower
London
E14 9SR

Telephone: 0800 023 4567
FOS website: financial-ombudsman.org.uk

 

 

For questions or issues related to a specific dispute, contact resolutions@uk.affirm.com.

 

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