FedEx Late Delivery Refund: How to Save 3-5% on Shipping
Colby Ezell / Small Parcel / June 6, 2022
Tons of businesses rely on shipping to keep the company running every day. Sure, it can be inconvenient when a package you’re expecting doesn’t arrive on time and can even cost your business money. But what’s even worse is when you’ve shipped something to a customer, and it doesn’t arrive on time.
Patrons will usually blame your company for the late delivery rather than the shipping carrier. When packages arrive after the quoted delivery date, it has a negative effect on your overall customer satisfaction. So, when you pay big money to work with a reputable delivery service like FedEx, it is extremely frustrating when deliveries arrive late.
We’ve got good news and bad news. The good news is that FedEx has a money-back guarantee, promising to refund the entire cost of shipping for any deliveries that showed up after the committed time. The bad news, the FedEx refund doesn’t automatically find its way back to your bank account. In fact, they make the process of getting your refund an absolute nightmare.
Extra good news: P3 Cost Analysts will fight to get your FedEx late delivery refund for you!
FedEx has long been considered one of the top delivery companies in the United States, so they have a pretty good reputation. They deliver through the weekend, unlike many other shipping companies, and can often get packages delivered faster. They also offer great resources for small businesses and many options for delivery speed.
That being said, even the most reputable shipping agencies encounter issues sometimes, and packages being delivered late is inevitable. So what happens if FedEx doesn’t deliver on time? Luckily, FedEx has a money-back guarantee to ensure that business owners are getting what they paid for. However, the way they word the guarantee and the requirements necessary to receive your FedEx delayed delivery refund is rather arduous.
The FedEx Money Back Guarantee states that they offer a money-back guarantee for every U.S. shipment that arrives after the published or quoted delivery time by even 60 seconds. One important note here is that senders must request a submit their FedEx late delivery claim within 15 days of the invoice. This means it’s important to understand the shipping terms and act quickly when experiencing delayed deliveries.
As with nearly all businesses, the COVID-19 pandemic affected FedEx operations. The company initially suspended its money-back guarantee in March of 2020 to ensure worker safety. Since then, the guarantee has been reinstated and suspended again, as circumstances have continued to change.
As of January 17, 2022, FedEx reinstated its money-back guarantee only for specific U.S. domestic and export shipments. The services currently operating with a money-back guarantee include:
It’s essential to understand the nuances of the money-back guarantee because you’re responsible for taking care of your business expenses. The shipping companies are not spending their time and resources on guaranteeing refunds. The responsibility lies with you.
When your shipping invoice is complex and seemingly endless, it’s pretty easy to miss the potential refunds that you are owed by the delivery companies. Add on to that the fact that there are time limits in which you must file your FedEx late delivery claim, and you might consider that hiring a professional to help review invoices could be beneficial.
By taking the time to diligently review your shipping invoices, you could start to save 3 to 5% on delivery services. Don’t let carriers use shady practices to prevent refunds and credit. Instead, file a claim to get back the money that is rightfully yours.
The FedEx Money Back Guarantee wouldn’t be a real policy without exceptions, right? Of course, the delivery provider is not willing to pay for delays that are outside of their control. Exceptions that invalidate FedEx refunds include:
Okay, that seems like a lot of exceptions, doesn’t it? So, when are you actually eligible for a FedEx refund for late delivery? You are eligible for a refund for any package that was delivered 60 seconds late or more, that was caused by mistake or delay on FedEx’s end.
For example, a customer contacts you and claims that their delivery was two hours late. They are upset because they schedule time off work to sign for the package. You double-check the shipping label you created, and the address is correctly listed. You check the tracking number and see the package left your warehouse as scheduled but sat on a FedEx Delivery Vehicle for an extra two hours.
You are eligible for a refund due to the terms listed in the FedEx Money Back Guarantee and should start the claim process immediately.
Sure, it would be nice if FedEx automatically refunded shipping costs for delayed deliveries or alerted you when a package didn’t arrive on time. Or even just made the claim process simple. But what’s good for you isn’t what’s good for them.
The first step to claiming your FedEx late delivery refund is recognizing that you qualify for one, which can be time-consuming. If you find multiple deliveries requiring claims, you’ll have to manually submit a form for each. Next, you’ll need to make sure to file the claim within 15 days of your invoice. There are three options for filing a claim with FedEx: online, by phone, or by mail.
To file your FedEx refund claim by phone, call the customer service line at 1-800-GoFedEx or 1-800-463-3339. You will need the same information as required for an online claim. The customer service representative will help walk you through the process.
Send a completed claim form and all of your supporting documentation to the following address within 14 days of the shipping date:
FedEx Cargo Claims Dept.
P.O. Box 256
Pittsburgh, PA 15230
Alternatively, you can file by email () or fax (1-877-229-4766) with the same form and documentation.
Online is the easiest option both for filing and for tracking the status of your claim. FedEx reports that most cases will be resolved in five to seven business days after they receive the claim form and supporting docs.
When you’re in negotiation with FedEx for a shipping contract for your business, they may try to tempt you to sign a “Money Back Guarantee Waiver.” The shipping company will try to tempt you to sign the waiver with discounts or incentives. Make sure to read the fine print before signing any contracts to make sure you’re not signing away your rights to file a claim on delayed packages.
While these discounts might seem tempting, they release FedEx from any accountability for delayed deliveries. If getting your shipments to your customers on time is important to you, don’t accept these provisions in your shipping contracts.
If the thought of having to spend hours each month auditing your invoices just to claim back money that is rightfully yours doesn’t sound appealing, let the team of small parcel auditors at P3 tackle it for you.
We will conduct a 45 point-audit on every shipment to make sure you get all the money you’re owed. Our proprietary software will even automate the refund process, leaving you and your employees free to focus on more productive tasks.
We often save our clients 3 to 5% on small parcel shipping services. Plus, the best part of P3’s shipping invoice audits is that you run no risks and no out-of-pocket costs. Instead, we simply share the refund credits that we get back for your company.
With an average of 3 to 5% of packages delivered late each day, FedEx likely owes you money at the end of each invoicing period.
The FedEx Monday Back Guarantee includes a delayed delivery refund for packages that arrive at their destination late. While there are some exceptions, many instances will entitle your company to a refund. The most important thing for your business is to recognize these instances and submit a FedEx late delivery claim.
Whether you claim your refund yourself or let P3 go to bat for you, make sure you are getting the money you are owed by your shipping provider for late deliveries.
