Guide

Refund policy template for online stores (Australia and NZ)

A good refund policy template for an online store says, in plain words, what happens when an item is faulty, what happens when someone changes their mind, how long they have, how to start a return, who pays postage and how quickly the refund lands. In Australia and New Zealand it must never take away the customer's legal rights to a repair, replacement or refund for faulty items. Below is a free template you can copy into Shopify, what the law requires, and what is up to you.

Updated 4 October 2026

What the law requires (and what is optional)

  • Required in Australia: under the consumer guarantees in the Australian Consumer Law, a customer can ask for a repair, replacement or refund when an item is faulty, unsafe, not as described or not fit for the purpose you said. For a major problem they choose; for a minor one you can choose to repair it. See the ACCC's guidance on refunds, repairs and replacements.
  • Required in New Zealand: the Consumer Guarantees Act gives similar rights for faulty goods, and online sellers must also follow the Fair Trading Act. See Consumer Protection NZ.
  • Optional in both: refunds or exchanges for change of mind, a longer return window, free return postage, store credit instead of a refund for change of mind.
  • Not allowed: wording that suggests customers lose their rights, like 'no refunds', 'no refunds on sale items' or 'exchange only' for faulty goods.

What a refund policy should cover

  1. Faulty or damaged items: what to do (photo and order number), and that you will repair, replace or refund under consumer law.
  2. Change of mind: whether you accept it, the time limit, and the condition items must be in.
  3. Items you cannot take back for change of mind: for example earrings, swimwear, personalised or final-sale items (faulty ones are still covered).
  4. How to start a return: email, a returns portal or a form, and what to include.
  5. Return postage: who pays for faulty items (you) and for change of mind (usually the customer).
  6. Refund method and timing: original payment method, and how many business days it takes once you receive the item.
  7. Exchanges and store credit, if you offer them.
  8. How to contact you, with a real email address.

Refund and return policy template (copy and adjust)

1. Our promise

We want you to love your order. If something is not right, we will fix it. This policy does not affect your rights under the Australian Consumer Law or New Zealand's Consumer Guarantees Act.

2. Faulty, damaged or wrong items

If your item arrives faulty, damaged or is not what you ordered, email us at [email] within [X] days of delivery with your order number and a photo. We will offer a repair, replacement or refund as required by consumer law, and we pay the return postage.

3. Change of mind

Changed your mind? You can return unused items with tags attached within [30] days of delivery for a refund, exchange or store credit. Return postage is paid by you. [Earrings, swimwear and personalised items] cannot be returned for change of mind for hygiene reasons.

4. Sale items

Sale items can be returned for change of mind within [14] days for store credit or exchange. Faulty sale items are covered by consumer law like any other item.

5. How to start a return

Email [email] or use our returns page at [link] with your order number and the reason for the return. We will reply within [1 business day] with the return address and next steps. Please do not send items back without contacting us first.

6. Refunds

Once we receive and check your return, we refund to your original payment method within [5] business days. Your bank may take a few more days to show it. Original shipping costs are refunded for faulty or wrong items.

How to add a refund policy in Shopify

  1. In Shopify admin go to Settings, then Policies.
  2. Find Refund policy. Shopify can fill in a basic template; replace it with your own wording from above.
  3. Save. Shopify links your policies in the checkout footer.
  4. Add the policy to your store's footer menu too, and link it from your shipping page and FAQ so customers can find it before they buy.

Answering refund requests well

A clear policy cuts down the 'can I return this?' messages, but people will still ask in DMs, comments and email. Reply quickly, link the policy, and handle faulty items generously: a fast, friendly fix usually earns a repeat customer. For wording, see our customer service email templates and apology email examples.

Paperflower puts every refund and return question from Instagram, Facebook and email in one list, with the customer's Shopify order next to it, and drafts a reply from your own policy. Refunds and cancellations always come to a person: Paperflower never sends them on its own, and it never discusses order details in public comments. See how email support works.

How Paperflower is different

Comments are a sales channel, not a chore

Most tools treat comments as noise. Paperflower reads every one, spots buying questions like “do you ship to NZ?” and makes sure they get answered before the customer moves on.

Buying Intent and Opportunity Score

Every conversation gets a score so the people ready to buy come first. You see who to reply to now, and who can wait.

Shopify context in every draft

Order status, shipping and product details are pulled in automatically, so drafts are right the first time and private order details never go out in public.

You stay in control

AI drafts are on and auto-send is off by default. Complaints are escalated to you. Refunds and cancellations always need a human.

Simple pricing

Paperflower starts free with 100 customer interactions a month, no card needed: every message in one list, and you write the replies. AI sorting, reply drafts and spam hiding come with Standard, which is A$47 a month for 3,000 customer interactions, with a 7-day free trial. Human replies are always free. See all plans.

Built for AU and NZ brands

Local time zones, local shipping questions, and support from people who know the market.

Frequently asked questions

No. Change-of-mind refunds are optional in Australia and New Zealand. If your policy offers them, you must honour what it says. Refunds, repairs or replacements for faulty items are not optional.

Not for faulty items. In Australia, saying 'no refunds' can mislead customers about their rights under the Australian Consumer Law. You can say you do not offer refunds for change of mind.

Many Australian and NZ online stores offer 14 to 30 days for change of mind. For faulty items there is no fixed window: the guarantee lasts for a reasonable time depending on the product and price.

No. It is a starting point written around the ACCC and Consumer Protection NZ guidance. Check it against your products and get advice if you are unsure.

Not unless you turn that on. By default it drafts a reply and you approve it. You can switch on auto-send for simple, safe questions once you trust the drafts.

Instagram, Facebook and TikTok comments and DMs, support email through Gmail or Google Workspace, and Shopify for order details.

Yes. The Free plan is the basics: 100 customer interactions a month in one list, no card needed, and you write each reply. Standard adds AI sorting, reply drafts and spam hiding, and comes with a 7-day free trial. You can cancel any time. Compare plans.

Start Paperflower free

Connect Instagram, Facebook, email and Shopify in a few minutes. On Standard, AI sorts every message and drafts every reply, you stay in control, and nothing is sent without your say-so unless you switch that on. Free puts every message in one list for you to answer.