refund-engineering

name	refund-engineering
description	Use when designing refund policy. Refunds = customer service + risk management.

Refund Engineering

Refund policy: clear, fair, reasonable. Aim 5-15% refund rate. Excessive = quality problem; near-zero = too restrictive.

Refund policy components

1. Window (e.g., 30-day, 60-day, 90-day)
2. Conditions (effort required? completion required?)
3. Process (how to request, where to submit)
4. Timeline (response within X days)
5. Method (full refund? credit? partial?)
6. Exceptions (specific cases where refund denied)

Healthy refund rates

By guarantee type:

• 30-day satisfaction: 5-15%
• 60-day satisfaction: 8-15%
• 90-day completion: 10-20%
• Outcome guarantee: 5-15%
• Lifetime: 5-10%

20% refund rate = quality issue. Investigate.

Reasons for refunds

1. Quality complaint — product doesn't deliver promised value
2. Mismatch — wrong fit for learner level
3. Customer change — life circumstances
4. Buyer's remorse — second-guessing
5. Better option — competitor solution found
6. Time — can't complete in available time

Address quality complaints (1). Accept others gracefully.

Where this fits in the X3 empire

Refund policy for CardPrepAI Academy.