Everything You Need to Know about the Changes Made to Canada Post, UPS, FedEx and Purolator’s Money-back Guarantee4 min read

This article has been updated as of 23rd August, 2021.

It’s been a year since the COVID-19 pandemic debuted and created panic across the globe, dramatically changing the way we live our lives. 

The eCommerce retail industry felt the brunt of the pandemic’s impact, just like every other industry out there.

While many retailers had to shut shop temporarily, others scrambled to deal with the humongous surge in demand. As a result, eCommerce retail – especially the supply chain and post-purchase aspect went under the scanner.

And as if this weren’t overwhelming enough, businesses also faced challenges from shipping carriers through peak surcharges and a suspension on money-back guarantees which have almost emptied SMB owners’ purses in the form of shipping bills. 

While peak surcharges are still levied on packages that are being shipped to certain remote locations, major shipping carriers such as FedEx, UPS, and Purolator reinstating their money-back guarantee for select service types is certainly some good news for eCommerce business owners.

What is the Money-back Guarantee Policy?

The Money-Back Guarantee (MBG) is a clause that is part of a shipping contract that stipulates that major shipping carriers such as FedEx, UPS, Purolator, etc promise to offer you a full refund on shipping charges if parcel delivery is delayed by even 60 seconds except in exceptional circumstances (natural disasters, weather delays, etc). Apart from the Money-Back Guarantee, shipping carriers offer refunds for 50+ service failures & billing errors including late, lost, and damaged deliveries, surcharge errors, etc.

And as you may be aware, due to disruptions in the global supply chain caused by COVID-19, all major shipping carriers around the world had suspended their Service Guarantee, also known as Money-Back Guarantee across all service types.

What are the Recent Changes Made to the Money-back Guarantees?

While continuous efforts are being made to restore normalcy in operations – carriers including UPS, FedEx, and Purolator have REINSTATED their Money-Back Guarantee for some service types, effective April 5, 2021.

The latest carrier to resume On-time Delivery Guarantees is Canada Post for parcels shipped within Canada. The delivery guarantees will take effect starting August 23, 2021.

This translates to more savings on your shipping bills, given that over 20% of all shipments faced delivery issues in 2020. 

But first, you must stay in the loop of the select services that are now eligible for the money-back guarantee. And that’s why we’ve compiled them for you.