CernyM - 4:53 pm on Aug 22, 2011 (gmt 0)
Update: I've been selling with great success on Amazon - as I add products my revenues go up exponentially...but you know what? I've had customers cancel orders even before I ship...for legitimate reasons...but now I find out that this counts against me.
It counts against you if it goes above 2.5% (in my category, may be a different number in others).
I also refund people sometimes but this counts against me. These both should be normal tasks for a regular business. Their feedback system is horrible and on top of that they compete with me...if I sell a product well they learn from my work...not right...
As far as I know, the refund rate is informational only.