Amazon Extends FBM Refund Processing Time: What Sellers Should Do Before Jan 26, 2026

Amazon Markeplace Updates
Written By Marketing Team

Returns are one of the most sensitive areas of the seller–buyer relationship—and one of the easiest places for operational gaps to become costly.

Amazon has announced an update to the Seller-Fulfilled (FBM) refund process, effective January 26, 2026, giving sellers more time to assess returned items before refunds are automatically issued. While this change offers breathing room, it also reinforces the importance of structured return workflows.

 

What’s New in This Update

Amazon is making three key changes to the FBM refund process:

1. Longer Refund Processing Window

  • Refund window increases from 2 business days → 4 calendar days

  • Applies after the returned item is marked as delivered

  • Gives sellers more time to inspect and assess returns

2. Automated Refunds Still Apply

  • If no refund is processed within 4 calendar days, Amazon may issue an automatic refund

  • In most automatic refund cases, SAFE-T reimbursement is not available

3. SAFE-T Exceptions Clarified

You may still file a SAFE-T claim only if:

  • The return was lost in transit

  • Delivery confirmation was incorrect

  • The item was never received (through no fault of your own)

 

Why This Update Matters

This change is helpful, but it doesn’t remove risk.

  • Sellers gain more time, but missed deadlines still trigger auto-refunds

  • Improper workflows can still lead to lost revenue with no reimbursement

  • Amazon is clearly encouraging sellers to document, grade, and evidence returns properly

In short: more time, but higher expectations for process discipline.

 

Pro Tips from Xtended.GH

  • Treat the 4-day window as a maximum, not a target

  • Prioritize return intake checks immediately upon delivery confirmation

  • Use Guided Refund Workflow (GRW) consistently to document condition changes

  • Upload evidence promptly when issuing partial refunds or restocking fees

  • Track return timelines centrally to avoid accidental auto-refunds

Refund control is an operations issue—not a customer service afterthought.

 

How Xtended.GH Can Help

We support FBM sellers with backend operations management to reduce refund leakage and compliance risk:

  • Monitoring seller-fulfilled return timelines

  • Supporting Guided Refund Workflow execution

  • Backend checks to ensure refunds are processed within policy windows

  • Operational reporting to flag refund and return risks early

We help sellers stay compliant, documented, and in control, without operational overload.

 

Get in Touch

FBM returns require structure, speed, and documentation, especially with automated refunds still in place.

If you want tighter backend control without adding internal strain,book an appointment and let us handle the backend while you focus on growing your brand.

 

Final Thoughts

Amazon’s update gives sellers more time—but not more forgiveness.

The sellers who benefit most will be those with clear refund workflows, proper documentation, and operational visibility. Preparation before January 26, 2026 will make the difference between control and preventable losses.

Marketing Team
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