Customer service refund approval

When this process is used

When customers return products and request refunds. When service failures entitle customers to refunds. When refund requests fall outside standard return windows. When refund amounts exceed agent authority. Ideal for retailers, e-commerce businesses, subscription services, and any organization processing customer refunds.

Roles involved

Service agents receive and validate refund requests. Policy reviewers assess eligibility against return policies. Approvers authorize refunds within their authority limits. Finance teams process approved refunds. Quality teams analyze refund patterns.

Outcomes to expect

Consistent refund decisions applying policy criteria across all requests Controlled refund processing with appropriate approval authority Faster legitimate refunds through streamlined approval for policy-compliant requests Reduced refund fraud through structured review and documentation

Step by step process

Your version of this process may vary based on roles, systems, data, and approval paths. Moxo's flow builder can be configured with AI agents, conditional branching, dynamic data references, and sophisticated logic to match how your organization runs this workflow. The steps below illustrate one example.

Refund request intake

The process begins when a customer requests a refund. Service agents capture the reason, original transaction, and any supporting documentation such as photos of damaged goods. AI agents may validate the request against order history and return windows.

Policy compliance check

The request is evaluated against refund policies including return windows, product condition requirements, and any exclusions. Compliant requests advance to approval. Non-compliant requests may be declined or flagged for exception review.

Approval routing

Based on refund amount and reason, the request is routed to an approver with appropriate authority. Standard refunds within policy may be auto-approved. Large amounts or exceptions require human review and authorization.

Authorization and processing

The approver reviews the request and authorizes or declines the refund. Approved refunds are processed through the original payment method. The customer is notified of the refund and expected timing.

Reconciliation and analysis

Processed refunds are reconciled with financial records. Refund volumes, reasons, and patterns are analyzed to identify product issues, policy gaps, or potential fraud indicators.

Inputs + systems

This process relies on order data, transaction history, return policies, and refund requests. Triggers include customer requests, return receipts, or service failure reports. Integration with e-commerce platforms like Shopify or Magento, payment processors, and CRM systems ensures accurate processing.

Key decision points

Key decision points include determining whether the request meets policy criteria, whether exceptions warrant approval, and what refund method is appropriate.

Common failure points

Refunds approved without validating original transaction. Policy exceptions granted inconsistently. Approved refunds delayed in processing. Refund patterns indicating fraud not identified.

How Moxo supports this workflow

Orchestrates refund requests through validation and approval with clear policy application

AI agents validate against order history and policy criteria

Routes approvals based on amount thresholds and exception types

Tracks refund patterns for quality improvement and fraud detection