Also see article: Tips on how to avoid and win disputes

What is a "Refund Request"?

When a Buyer buys a gift card, and discovers an error on the card during the escrow period, the Buyer can submit a Refund Request to cancel the trade and get refunded for the credits held in escrow. 

What is a Dispute?

  • A Dispute occurs when a Buyer reports an invalid gift card, known as a "Refund Request", and the Seller disagrees with the evidence provided by the Buyer, and opens a dispute.
  • If a Seller does not open a dispute during the escrow period, the credits are automatically returned back to the Buyer. This is the case with 90%+ of refund requests, as most refund requests are honest mistakes by the Seller.

How does the process work?

Below is the step by step of how the dispute process works. 

  1. A Buyer opens a trade, and buys a card
  2. The card is invalid and the Buyer submits a refund request (only possible during the escrow period).
  3. Seller has 4 hours to review details and decides whether or not to open a dispute (If Seller does NOT dispute, the trade will be cancelled and the Buyer refunded).
  4. Our admin team conducts an investigation and makes a decision within 24 hours. If the evidence is clear, a dispute can take a little as 1 hour. 
  5. Once a decision is made by the admin team, it is final. 

If a Buyer wins a dispute, what happens?

  1. The Buyer is refunded the credits in escrow.
  2. The Seller is charged a 1% fraud fee, and not paid.
  3. Both traders show 1 dispute on their statistics.

If a Seller wins a dispute, what happens?

  1. The funds in escrow will be released to the Seller.
  2. No taken fees will be assessed to the Seller.
  3. Both traders show 1 dispute on their statistics.

Can a refund request or dispute be opened after escrow has closed?

Yes, a Buyer can report an invalid card after the escrow has ended, however the Buyer cannot be refunded, because the funds in escrow have already been released to the Seller. Typically Buyers report invalid cards after escrow to ensure the Sellers account is penalized for the invalid card.

Can a dispute be opened after the Buyer has been refunded credits in escrow?

No, a Seller cannot open a dispute after credits have been returned to the Buyer.

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What information do we use to decide on disputes?

We take every dispute very seriously, and we manually investigate each dispute looking at every piece of information, both qualitative and quantitative. 

The pieces of information we weigh heavily:

  • Seller's evidence supporting the dispute (images showing possession of the card).
  • Buyer's evidence supporting the dispute (video recording and audit history).
  • Conversation details, and responsiveness by the Buyer and Seller.
  • Quality scores and dispute count for both Buyer and Seller.
  • Dozens of other propriety metrics and information collected by our software.

We don't claim to be perfect, but we're proud to say that with the current dispute process, fraud on Redeeem is lower than any peer to peer gift card trading company.

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