You're eligible for reimbursements on your MCF orders if we determine that they have been lost or damaged due to reasons attributable to us. You have up to 30 days after the estimated delivery date to submit your claim for any lost or damaged items on your MCF orders. Check the status of your existing reimbursements on the Amazon Fulfilled Inventory report or the Payments dashboard.
You are ineligible for reimbursements if you use MCF in either of the following ways:
-You use MCF as a way to remove items from a fulfillment center. Instead, create a removal order. For more information, go to
Remove inventory (overview).
-You use MCF as a way to fulfill Amazon orders.
Also, MCF fulfilment fee is ineligible for reimbursement.
How we calculate reimbursement value:
If we determine that your reimbursement claim is valid, we’ll reimburse your account as per the estimated Fair Market Value.
We consider several factors when determining an item's fair market value, considering your sales history, the average FBA selling price on Amazon.in, the sales history of the specific ASIN, Amazon selling fee and the applicable rate of taxes [AZB9] [GP10] etc[AZB11] [GP12] . If we don’t have enough information to calculate the reimbursement amount for an item, we will assign a value to your inventory based on similar FBA listed items.
Note:
If you request a re-evaluation of your reimbursement, we may require more information from you, such as a receipt or invoice. The request for re-evaluation of the reimbursement must be filed within 60 days from the date of original reimbursement. Link to contact us for re-valuation.
How do we calculate fair market value?
When we estimate the proceeds of a sale, we start with an estimated sale price. Because MCF orders occur outside Amazon.in, we don’t have a record of the sale price . Therefore, we determine the estimated sale price based on your FBA sales, and we use the fees that are applicable to FBA sales to determine a fair estimation of the proceeds of sale. If we don’t have enough information to calculate the reimbursement amount for an item, we will assign a value to your inventory based on similar FBA listed items.
Note: If you request a re-evaluation of your reimbursement, we may require more information from you, such as a receipt or invoice. The request for re-evaluation of the reimbursement must be filed within 60 days from the date of original reimbursement. Link to contact us for re-valuation.
Lost in transit reimbursement policy:
If your order isn’t delivered within fifteen days after the estimated delivery date, you can claim a lost reimbursement with Selling Partner Support. Orders that are marked as delivered by the carrier aren’t eligible for reimbursement.
Your claim must include all of the following:
- Order ID.
- Proof of the original non-Amazon order, e.g. screenshot of your website order, including all affected ASINs and corresponding quantities, as well as the buyer’s name and address.
- Proof of refund or replacement provided to the buyer, including the buyer’s name and address.
- Tracking IDs for the affected shipments.
If we have previously reimbursed you for lost inventory that is subsequently found, or otherwise determine that the reimbursement was given by mistake, then you authorize us to reverse the credit that was applied to your account. For more details on this policy, please check
Reimbursements FAQ.Damaged / materially different / missing accessories reimbursement policy:
Amazon shall provide you damages allowance on a monthly basis to compensate for items found to be damaged in transit (after reaching the buyer), items are found materially different, or items are found with accessories missing.
The damages allowance are paid to you basis the below formulae:
Damages allowance = (Damage allowance rate) * (Monthly shipped units*) * (Monthly average selling price of each shipped product[GP29] [GP30] OR INR 20,000, whichever is lesser)
Damage allowance rate = 0.3%
Note: Damage allowance rate is fixed rate set by Amazon, based on several factors meant to fairly compensate sellers for the aforementioned reimbursement situations.
The damages allowance will be posted every month basis the orders shipped through MCF. As the damage allowance are automatically processed, this does not warrant a seller contact requesting for reimbursement for damaged / materially different / missing accessories reimbursement.
*You can view all your shipped units by navigating to Seller central > Reports > Fulfilment By Amazon > Order section: Customer shipment sales report > select date.
Example:
Number of items shipped for the period 1st April – 30th April: 3 (Product A, Product B, Product C)
Price of Product A: INR 400
Price of Product B: INR 5500
Price of Product C: INR 21000
Damage allowance rate = 0.3%
Damage allowance for Product A = (0.3%) * (1) * (400) = INR 1.2
Damage allowance for Product B = (0.3%) * (1) * (5500) = INR 16.5
Damage allowance for Product C = (0.3%) * (1) * (20000) = INR 60
Total Damage allowance = INR 77.7
Frequently asked questions:
How do you handle reimbursement requests from the customer / buyer?
All buyer / customer claims need to be addressed by you as per policies defined by you on your own website, or other sales channels.
If an order is not delivered, contact Seller Support to initiate a reimbursement for the lost item. The reimbursement amount is calculated according to the MCF Reimbursement Policy. Amazon reimburses you, not the customer. It is your responsibility to resolve the issue with the customer. To send a replacement item from your inventory, create a new MCF order, where applicable fulfillment fees are charged on the same.
For any damage that occurs after an order is delivered, you must determine whether you will refund or exchange an item. Amazon does not take responsibility for defective items or items that are damaged when not under the control of Amazon or the partner carrier. If an item is damaged and Amazon or the carrier is not at fault, you may want to have the merchandise sent to you directly, instead of back to a fulfillment center.
Why do you have to wait for 15 days from the estimated delivery date, to be eligible for a LIT reimbursement?
Although Amazon makes reasonable efforts to ensure that all MCF orders are delivered on-time, we do come across situations where deliveries are delayed due to various factors. To enable the carrier to complete their delivery, we would like you to wait for 15 days from the estimated delivery date.
Why does Amazon provide a damage allowance for damaged, materially different and missing accessories reimbursements situations?
As part of the MCF program, Amazon would not be able to accept returns, have the ability to confirm customer claims, nor grade your items. Hence, we would not be able to provide you an objective resolution on every claim. Hence, Amazon provides you an allowance irrespective of actual number of claims to ensure that you are empowered to serve your customers as per your own customer facing policies.
Where can you view reimbursements posted for MCF orders?
You can view all the reimbursements posted for MCF orders through the ‘Reimbursement’ report. You can learn more here.
