Hello Everyone,

I’m hoping to get some clarity and start a discussion around an issue I’ve encountered with Amazon FBA returns and refunds. Specifically, it involves situations where:

1. The order cannot be delivered due to an undeliverable shipping address.

2. The item is marked as not received by the customer.

In these cases, Amazon refunds the customer and reimburses the seller only for the referral fee. However:

• The pick-and-pack fee isn’t refunded, even though the refund is not a result of seller negligence.
• On top of that, Amazon charges a refund processing fee, which seems excessive since sellers had no control over the situation.

My Questions:

1. Why doesn’t Amazon refund the pick-and-pack fee in these scenarios?

If the seller is not at fault (e.g., the address is invalid or the carrier fails to deliver), shouldn’t Amazon absorb the operational cost instead of the seller?

2. What is the logic behind the refund processing fee in these cases?

This feels like being penalized twice: first by losing the pick-and-pack fee, and then by paying a refund processing fee for something outside our control.

3. How do other sellers handle this?

• Is there any way to challenge these refund scenarios or request a reimbursement for the pick-and-pack fees?

• Has anyone found success in escalating such cases through support or other channels?
• Can this process be improved?

It seems unfair that sellers shoulder these costs for issues beyond their responsibility. Would an update to Amazon’s policy make more sense here?

I’d love to hear your experiences and any advice on navigating these situations. It’s frustrating to see these deductions add up, especially when they stem from circumstances completely out of our hands.

Looking forward to your thoughts and insights!

Best regards,