Refund & Credit Procedures

Purpose

Process for issuing refunds and credits when necessary, ensuring proper documentation and approval.

When a customer is owed money back due to overcharge, billing error, scope change, warranty adjustment, or goodwill resolution.

Billing error: Customer was overcharged due to incorrect pricing or duplicate charge.

Scope reduction: Work was originally quoted but not performed, and customer was charged.

Service recovery: Manager-approved refund to resolve a customer complaint.

Warranty adjustment: Work falls under warranty coverage and the customer was charged.

Cancellation: Job was canceled after payment but before work was completed.

Document the reason for the refund in ServiceTitan job notes.

Get the required approval with documentation.

Process the refund through ServiceTitan:

- Credit card refunds go back to the original card.

- Check refunds are issued as a company check.

- Cash refunds are issued as a company check (not cash from the drawer).

Email the customer confirmation of the refund.

Note the estimated processing time: credit card refunds take 5-10 business days.

A credit is applied to the customer's account for use on future service.
Credits are appropriate when the customer will use Spartan again (e.g., membership customers, ongoing projects).
Credits must be documented in ServiceTitan on the customer record.
Credits do not expire unless otherwise specified.

Never issue a refund without documented approval. This protects everyone.
If a customer demands a refund and you're unsure, don't deny it — escalate to a manager.
Track refund volume monthly — high refund rates indicate a process or quality issue.
Refunds are not a substitute for fixing the actual problem. Resolve the issue first when possible.