Program Desk
Program Desk
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Q: We're getting killed by refunds. Did a clawback policy fix it for anyone?

Q: We're getting killed by refunds. Did a clawback policy fix it for anyone?

Yes, but the win came from the window length, not the existence of a clawback. A SaaS program I ran paid commission on day 1 of signup, then clawed back on any refund within 60 days. Refund-related disputes were eating ~9% of our payout budget.

What we did:
— Moved the approval/lock point from signup to day 31 (after the refund window mostly closes)
— Paid out monthly on the 15th for sales locked the prior month
— Published the new terms 30 days ahead so no partner got surprised

Result: clawback events dropped from 9% of payouts to 1.4%, and partner disputes about reversed commissions fell to nearly zero because they simply never saw money they'd lose.

The caveat: a longer hold delays partner payday, and your best affiliates feel cash flow. We offset it with a faster net-15 schedule. If your refund rate is already under 3%, don't bother — the friction isn't worth it.

Got a question? Send it in.
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