When purchasing with Affirm, customers may come across one of any number of issues that compels them to open a dispute with us. This article goes over this process from your customer's point of view. For the merchant's point of view when handling disputes, please view this article.
For each transaction, Affirm processes the order payment and the merchant processes the order fulfillment. If a customer experiences an issue with their order and contacts Affirm, Affirm will initially direct the customer to you, the merchant, for a resolution. If a resolution is unable to be made between you and the customer, Affirm will help facilitate the resolution.
The general resolution process:
- Customers can open a dispute within 60 calendar days of capture, during which time they are not responsible for making payments.
- Both customers and merchants have 15 calendar days to provide evidence to substantiate their claims.
- After providing all evidence, Affirm will notify the customer and merchant of a decision within 15 calendar days (if a Virtual Card was used for the transaction, the customer will be notified within 90 calendar days).
Note: Affirm reserves the right to modify our dispute resolution procedures at our discretion with prior 30 days written notice to the merchant.
Types of disputes
Here are the major types of disputes that a customer can open up with a merchant, but are not limited to:
Product not received
The customer claims they have not received a product they purchased on the merchant's website.
The customer claims that a product they received is incorrect, damaged, or otherwise fails to conform to the product description on the merchant's website.
Cancelation or return not processed
The customer claims that they were charged for a product or service they canceled or returned in a manner consistent with the merchant’s stated refund and return policy in effect at the time of the customer’s purchase.
The customer claims that they were charged an incorrect amount.
The customer claims they were charged multiple times for an item or an order.
Customer disputes submission flow
Below is the general flow that customers encounter when they choose to open a dispute when logged into their Affirm account using either the Affirm mobile app or the website.
- The customer locates the loan details in question within the Affirm app, and select "Dispute this purchase".
- More often than not, disputes can be quickly handled between the merchant and customer themselves, without Affirm's involvement.
- If that's not the case, the customer can continue on and provide details for their dispute against the merchant (Affirm Dispute).
- The customer then uploads any relevant information to support their dispute
- If the customer is eligible for the submission (eg: order is still processing, or the purchase was made too long ago), they will see this confirmation screen.
Affirm's Resolutions team will receive this information. Follow-up communications are then sent to both the customer and merchant by email outlining follow up actions if needed, such as submitting additional evidence, before providing a decision on the dispute.
Affirm will use industry-standard best practices to resolve Affirm Disputes that Affirm has elected to investigate directly with the customer.
Customers will have 60 days from the merchant's capture of a transaction to request that a Merchant Dispute be initiated by Affirm (Affirm Dispute). After initiating an Affirm, the following procedure will be followed:
- Affirm will promptly inform the merchant of the Merchant Dispute by forwarding the dispute to the merchant along with any supporting evidence provided by the customer.
- Affirm will withhold the disputed amount until the Merchant Dispute is resolved.
- Both the merchant and customer will have 15 days from the initiation of a Merchant Dispute to respond and/or provide supporting evidence.
- Affirm considers all evidence provided by the merchant and customer within the dispute time frame above in our investigation of Merchant Disputes.
- After completing our investigation, Affirm will have 15 days to review the Merchant Dispute and communicate the resolution to the merchant and customer.
Affirm will resolve all disputes in favor of the party that best substantiates their claim(s).
- If Affirm resolves a dispute in favor 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.
- If Affirm resolves a dispute in favor of the customer, Affirm will refund the disputed amount to the customer. In such an event, the merchant will reimburse Affirm for the amount refunded to the customer.