Do you think 10% fees for a refund is a good idea?

[Heri S]

Hi, guys.

I've just experienced a rather shocking moment when I realized Upwork charges me another 10% fees for a refund.

I would really like to hear an official statement from Upwork about why the high charge over a refund, and also from you guys, do you think this is a fair amount?

Also, if Upwork sees this thread to be a harmful one, I'd be okay to have it closed.


Cheers.

Update:

Thanks to Jennifer for pointing out the correct scenario. So, it is indeed a false alarm on my side, the current refund scheme never harms us in any way for freelancers, Upwork has it working great as expected.

[Jennifer M · Accepted solution]

No, they don't. Their transaction sheet is difficult to read especially if you had a credit in your account. I just had a refund, and I'm looking at mine now. They credit the client but leave the original credit to your account. They credit the client before you have a payout, so you're actually in the negative for a time. So, they credit back to the client, and then they credit you minus the 10%.

It's a confusing thing to read, I know, but if you look at it with crossed eyes or something, it works out.

It reads like this:

1. Deduct the full amount from your account.

2. Credit you back the 10%

3. Credit you the full amount

4. Deduct the 10%.

You come out even.