I would like to bring attention to a serious issue many sellers are facing on Amazon India. As an honest seller of genuine and costly products, I have encountered numerous fake orders from fraudulent customers. These customers place prepaid orders, receive our authentic and high-quality products, but then return fake items or low-cost products in place of the original.
The major concern here is Amazon's policy, which allows immediate refunds to customers before the return items are verified by the seller. This system enables fraudsters to exploit the return policy, costing sellers thousands in losses. When we file a SAFE-T claim with all the necessary proofs, Amazon assigns a randomly reduced claim amount, which does not even come close to covering the full loss, pushing sellers like us into a state of financial burden.
This process is deeply flawed, as it:
Encourages fraudulent customers to keep the original, high-cost products and return fake items.
Provides immediate refunds to customers before the returned items are verified, making it easier for them to exploit the system.
Significantly underpays sellers in SAFE-T claims, even when proofs are provided.
It is frustrating that Amazon's policies are being used to exploit genuine sellers, leaving us vulnerable to fraud.
I am planning to file a formal legal case against this policy, which I believe is encouraging fraudulent activity. Many small businesses are suffering due to these policies, and it's high time that Amazon revisits its refund process and provides protection to sellers.
I invite other sellers to share their experiences and insights on this issue. We need a collective voice to bring about a change that ensures fair practices and protects the seller community from being scammed by these unscrupulous practices.