There are 2 types of refunds - Total Refund or Partial Refund.
1. Total Refund
In the case of a total refund, as soon as we are notified of the return, you are refunded the amount you've paid to-date and Zip cancels all future payments.
Remember, if you have only made one instalment payment, we can only refund what you have paid, not the entire amount of the original purchase.
Example:
Jane makes a $200 purchase and has already paid her first $50 instalment at the time of purchase. The merchant ships her item, but it is the wrong size. She returns the item to the merchant and is expecting a full refund.
After the merchant approves the return of the item, she receives a refund of $50. She does not receive $200 because she has only made one $50 instalment payment. The remainder of her instalment payments have been canceled.
2. Partial Refund
If the refund is partial (for example, you’ve only returned part of an order) we will start by reducing your last instalment by that amount, then if it is more than that, we will deduct it from your last and second last instalment - and so on.
Example:
You make a $100 purchase. Your four payments are $25 each. With your first payment due at the time you place your order.
- $25 - Paid at time of purchase.
- $25
- $25
- $25
The merchant refunds $50 on your purchase. The value is applied to the last of your instalments, and then to the next-to-last instalment, and so on, until the entire refund amount has been applied.
- $25 - Paid at time of purchase.
- $25
- $25 - Covered with the refund.
- $25 - Covered with the refund.
Your second instalment remains and is still due on the due date.
If your refund is larger than the total of your unpaid future instalments, we will also refund your original payment method directly.