Return & Refund Policy

Our Return & Refund Policy template lets you get started with a Return and Refund Policy agreement. This template is free to download and use.

According to TrueShip study, over 60% of customers review a Return/Refund Policy before they make a purchasing decision.

It’s the single most important agreement your e-commerce store needs to have as it can affect your retention rate.

What is a Return/Refund Policy

A Return and Refund Policy is the agreement where you inform customers about your policies regarding returns and refunds.

It usually includes the following pieces of information:

  1. How many days they have to return a product
  2. How will they receive the refund (credit or replacement)
  3. If you offer refunds for digital products or in-app purchases
  4. Who pays for shipping to return the product
  5. And so on


1. Do I need to have a Return Policy?

While there isn’t a law requiring ecommerce stores to have a Return Policy, you may need one if you wish to enforce your terms and parameters of returns and refunds.

For example, in the state of New York, if a retailer does not provide a Return & Refund Policy, the retailer will be required to accept returns and give refunds for all merchandise returned within 30 days of purchase. If you wish to limit this in any way, you will need to create and post a Return Policy with your own custom terms.

Another reason for having a Return Policy even if not required by law is that most consumers prefer to shop at retailers with a clearly-posted Return Policy. This is especially important when shopping online, as more issues are likely when purchasing something without being able to see it in person first.

If you don’t have a Return Policy, you may be at the mercy of state laws regulating return and refund timeframes. You may also lose potential customers who are concerned about not being able to return a product if they need or want to.

2. What are the main benefits of having a Return Policy?

There are two main benefits to having a Return Policy.

First, you will be able to control your return terms. If you don’t post a Return Policy, some laws require you to provide a minimum timeframe to accept all returns.

Secondly, you will gain the confidence of potential customers and convert more sales. Shoppers are far more likely to do business with companies that have and post a Return Policy.

3. What information should I include in my Return Policy?

Your Return Policy should include the following information:

  • How many days customers have to initiate a return
  • How they should initiate a return
  • Conditions of returns (must be unworn, in original packaging, etc.)
  • Restrictions on returnable items (no returns on software or undergarments, etc.)
  • What form you provide a refund in (original form of payment, store credit only, etc.)
  • What party pays return shipping costs
  • If you have any restocking or other fees you deduct from refunds

4. Where do I display my Return Policy?

You should display your Return Policy as a link in your website footer along with your other important legal agreements and policies.

You should also add a short paragraph to your Terms and Conditions agreement where you summarize your Return Policy and link to the full policy.

You may want to add a link to your Return Policy at the final checkout screen so users have another chance to review your policy before finalizing the purchase.

5. Do I need to get agreement to my Return Policy to enforce it?

You do not need to get agreement to your Return Policy to enforce it. Simply posting it will be enough to make your policy enforceable.

However, if you want to go above and beyond to make sure your bases are covered, you can add an unticked checkbox to the final checkout screen of your ecommerce store that users will have to check to show they “Agree to your Return Policy.

Also, by including your Refund Policy in your Terms and Conditions agreement and getting agreement from customers to be bound by your terms, you’re by default getting agreement to your Refund Policy since it’s part of the Terms and Conditions.

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