Handling Lost and Damaged Packages with USPS

Purpose

This blog aims to guide sellers on how to handle lost and damaged packages associated with UPS shipping labels purchased via Palmstreet. The process ensures that sellers effectively assist buyers in filing claims, follow up and close the case.

Q&As

Who submits the claim to UPS?

If you encounter any UPS shipping issues that need to submit a claim, and the label is purchased through Palmstreet, please contact Palmstreet Support to submit it on your behalf. Be sure to mention that your shipping label is purchased through Palmstreet.

How long does the claim process take?

The processing time typically takes 7-14 days, but it may take up to a month depending on the turnaround time of UPS.

How much is the compensation?

If it gets approved, UPS may compensate for the total amount or less, and it will be no more than $100 per package.

Scope

This procedure applies to all UPS shipments with labels purchased through Palmstreet and recorded in your Purchased Shipping Labels in Settings. It covers cases including lost or damaged packages due to shipping issues.

Process

Receive Buyer Feedback and Assist with Claim Submission

When a buyer discovers that a package is lost or damaged, they typically contact the seller and provide relevant evidence (e.g., photos of the damage, tracking information, etc.) You may collect relevant info and request Palmstreet to initiate the claims submission process.

Package Lost:

For lost claim that you just need to collect the tracking number of the lost package.

Package Damage:

Photos of any damage (front, back, top, bottom, and sides).

Photos of the box it came in, including the label of the box.

Photos of how it was packaged.

Description of any discrepancies between the item received compared to the original item

Understand Claim Limits and Manage Buyer Expectations

The seller should communicate the uncertainty of the claim outcome and ensure that the buyer has reasonable expectations regarding the resolution. The seller should clearly inform the buyer that UPS’s maximum claim limit is $100 per package. Even if the package’s actual value exceeds $100, UPS will not pay more than this limit.

Inform the Buyer of the Claim Processing Timeline

The seller should inform the buyer that the UPS claim process can take up to one month from the start of the investigation to its conclusion.

Decide Whether to Offer a Preemptive Refund

If the claim has been successfully submitted and appears on the UPS website, and the seller wishes to enhance the customer experience, they may choose to offer a preemptive full or partial refund. The seller should clearly explain to the buyer that the preemptive refund is intended to reduce their waiting time, but the claim outcome is still unknown.

Closing of the case

After the claim is approved or rejected, Palmstreet will share the results with the seller, and the buyer if necesary or required. If approved, Palmstreet will reimburse the seller with the amount received from UPS (the maximum compensation from UPS is $100). The seller is then responsible for processing refunds or replacements.