If you use Amazon Pay to collect funds from sales on your website, there is good news as Amazon add additional protections due to the Coronavirus pandemic, extending the time you have to respond to a dispute and waiving the Amazon Pay Chargeback Dispute Fee.
“As the economic impact of the COVID-19 crisis unfolds, Amazon Pay recognizes merchants are being impacted in unprecedented ways. In an effort to mitigate some of the uncertainty, Amazon Pay is temporarily relaxing its chargeback policy in two ways:
- Required chargeback response times are being extended to 20 days from the current 11 days.
- Amazon Pay is proactively waiving the Disputed Chargeback Fee for Amazon Payments merchant accounts in active state.
Both changes are in effect through September 30, 2020.”
– Amazon Pay
Amazon Pay Chargeback Dispute Fee
The Amazon Pay Chargeback Dispute Fee is £14 per disputed chargeback. Amazon Pay will build, present, and maintain your case with the credit card company or bank. If you have provided the required information and the chargeback is covered by our Payment Protection Policy, you will not be charged a dispute fee and Amazon Pay will not collect the chargeback amount from your account.
Amazon haven’t specified what an ‘active state’ means for your account, but one can surmise that if your account isn’t being limited and you are regularly receiving payments through it that the Amazon Pay Chargeback Dispute Fee will be waived until the 30th of September.
Amazon Pay Chargeback Dispute Fee Payment Protection Policy
Under the Amazon Payment Protection Policy, Amazon will not hold you liable for chargebacks, and will not collect a chargeback dispute fee in any case, if you and the transactions meet all the requirements of the Policy. To qualify the following requirements apply:
- You have a Business Account.
- The transaction is for the sale of physical products, like books and DVDs. The Payment Protection Policy does not apply to transactions involving intangible products, including services, digital content, or cash equivalents or stored value instruments such as gift cards.
- The chargeback (whether for transactions involving credit cards or reversals on bank account transfers) transaction is disputed and classified as “Unauthorised Payment”. Note that it does not apply to chargebacks classified in other ways including “significantly not as described”, “merchandise that is defective”, or “non-receipt of merchandise”.
- You provide all requested information within the time limit specified by us, including without limitation valid proof of delivery to the address provided by Amazon Pay for the applicable transaction.
- The transaction and your use of our services do not violate the terms of the Amazon Payments Europe Merchant User Agreement, including the Acceptable Use Policy.
If a transaction is covered under the Payment Protection Policy, in case of a chargeback you will need to provide the following, normally within 11 days but until the 30th of September within 20 days:
- Proof of delivery
- Date the order was shipped
- Tracking number (if applicable)
- Shipping address
- Whether the products sold were physical goods or intangible goods
