Payment Processing Terms & Refund Policy

Version: 1.0
Effective Date: January 1, 2026
Last Updated: December 17, 2025

PAYMENT PROCESSING TERMS & REFUND POLICY

This document governs payment processing, billing, refunds, and chargebacks for Carpet Installers Direct ("Platform," "we," "us," or "our").

By placing an order, you agree to these terms.

1. Payment Methods Accepted

1.1 Credit and Debit Cards

We accept:

• ✅ Visa
• ✅ Mastercard
• ✅ American Express
• ✅ Discover

Payment processing via Stripe (PCI-DSS Level 1 certified). Platform does NOT store your full card number (Stripe handles card data securely).

1.2 ACH Bank Transfer

For orders over $2,000, ACH bank transfer is available:

• Processing time: 3-5 business days (order ships after payment clears)
• Fee: Free (no ACH processing fee)
• How to use: Select "Bank Transfer" at checkout and provide routing/account number

1.3 Financing (Affirm or Similar)

Subject to credit approval. Financing available for orders $500-$10,000:

• APR: 0%-30% (based on creditworthiness)
• Terms: 3, 6, 12, or 24 months
• Application: Apply at checkout (soft credit check, no impact on credit score unless approved)

Platform does NOT offer its own financing. Financing is provided by third-party lenders (Affirm, Klarna, etc.). You enter into a separate agreement with the lender.

1.4 Payment Methods NOT Accepted

We do NOT accept:

• ❌ Cash or money orders
• ❌ Personal checks
• ❌ Cryptocurrency (Bitcoin, Ethereum, etc.)
• ❌ PayPal (except for international orders - see Section 1.5)
• ❌ Wire transfers (except for large commercial orders by prior arrangement)

1.5 International Orders

For customers outside the U.S.:

• PayPal may be available (contact support@carpetinstallersdirect.com)
• Currency conversion: Charges appear in USD; your bank converts to local currency
• Foreign transaction fees: Your bank may charge fees (Platform does not control this)

Note: Platform primarily serves U.S. customers (Georgia and adjacent states). International shipping is limited.

2. Payment Authorization and Billing

2.1 Authorization at Checkout

When you place an order, you authorize Platform to charge:

1. Materials cost (base cost + tier-specific markup)
2. Service fees ($99 BYOI coordination fee or 12% Full Service platform fee)
3. Installation labor (Full Service tier only)
4. Shipping cost (LTL freight from mill to delivery address)
5. Taxes (sales tax based on delivery address)

2.2 Pre-Authorization Hold

When you submit payment:

• Card is pre-authorized for the full order amount (funds are held but NOT charged yet)
• Charge occurs when order is confirmed (typically within 24 hours)

If order is canceled before confirmation, pre-authorization is released (funds return to your account in 3-7 business days).

2.3 Payment Timing by Tier

Materials Only & BYOI:

• 100% payment due at checkout
• No payment plans (full payment required before order processing)

Full Service:

• Option A (default): 100% at checkout
• Option B (on request): 50% at checkout, 50% upon installation completion

2.4 Additional Charges

Platform may charge you for:

• Add-on services (old carpet removal, furniture moving, subfloor repair) - quoted separately
• Change orders (customer requests changes after order confirmation) - quoted separately
• Rescheduling fees (see Section 7)
• Late delivery fees (if customer fails to receive delivery - carrier storage fees)

You will be notified before any additional charges are processed.

3. Price Lock and Changes

3.1 Price Lock at Checkout

Prices are locked when you complete checkout. Platform will NOT increase price after order confirmation, except:

1. Customer-requested changes: Add rooms, upgrade padding, change product
2. Unforeseen site conditions: Subfloor damage discovered during installation (quoted separately; customer approval required)

3.2 Material Cost Increases

If carpet mill increases material cost after you place order:

• Platform absorbs the increase (you pay the price shown at checkout)

3.3 Shipping Cost Increases

If carrier increases shipping rates after order confirmation:

• Platform absorbs the increase (you pay the shipping cost shown at checkout)

3.4 Pricing Errors

If Platform discovers a pricing error:

• Before order ships: Platform offers choice to (a) pay correct price or (b) cancel for full refund
• After order ships: You pay price shown at checkout (Platform absorbs error)

4. Sales Tax

4.1 Tax Collection

Platform collects sales tax based on:

• Delivery address (not billing address)
• State and local tax rates (varies by jurisdiction)

Example: If you live in Georgia and have materials delivered to your home, Platform collects Georgia sales tax (currently 4% state + local rates, typically 7-8% total).

4.2 Tax-Exempt Purchases

If you qualify for tax exemption (business, non-profit, government entity):

1. Contact support before checkout: Email tax@carpetinstallersdirect.com
2. Provide tax-exempt certificate (valid state-issued certificate)
3. Platform verifies and removes tax from your order

Orders placed without pre-approval are charged tax (refunds for tax are NOT provided retroactively).

4.3 Tax Accuracy

Platform uses automated tax calculation (TaxJar or similar). If you believe tax is incorrect:

• Email tax@carpetinstallersdirect.com with order number
• Platform investigates and refunds excess tax if error occurred

5. Refund Policy

5.1 Refund Eligibility by Tier

Materials Only:

• ✅ Manufacturing defect (reported within 30 days of delivery)
• ✅ Shipping damage (reported within 48 hours of delivery)
• ✅ Wrong product shipped (Platform error)
• ❌ Custom-cut materials (no returns if materials were cut per your specifications)
• ❌ Installed materials (no refunds after installation)
• ❌ Color mismatch (customer expected different color - should have ordered samples)

BYOI:

• ✅ Manufacturing defect, shipping damage, wrong product (same as Materials Only)
• ✅ Installer no-show (Platform-verified installer fails to coordinate - refund $99 coordination fee)
• ❌ Installation quality issues (Platform does NOT guarantee installer workmanship)

Full Service:

• ✅ Manufacturing defect, shipping damage, wrong product (same as above)
• ✅ Installer no-show (Platform sends replacement installer; no refund but no additional charge)
• ✅ Installation quality issues (covered by 1-year workmanship guarantee - Platform fixes at no cost)
• ❌ Customer dissatisfaction with color/style (should have ordered samples)

5.2 Cancellation Refunds

Before production begins (typically within 24-48 hours of order):

• Full refund minus $99 processing fee

After production begins (mill has started cutting materials):

• ❌ No refund on materials (custom-cut per your specifications; Platform cannot resell)
• ✅ Refund on unperformed services (installation labor, platform fee if installation hasn't occurred)

After installation:

• ❌ No refunds (except for Platform breach or installer no-show)

5.3 Refund Process

To request a refund:

1. Contact support: Email support@carpetinstallersdirect.com or call [phone number]
2. Provide order number and reason for refund
3. Submit documentation (photos of defect/damage, installer communication logs, etc.)
4. Platform investigates (typically 3-5 business days)
5. Refund issued (if approved)

Refund timeline:

• Credit/debit card: 5-10 business days
• ACH: 7-10 business days
• Financing: Applied to outstanding balance (contact lender if paid in full)

5.4 Partial Refunds

Platform may issue partial refunds for:

• Minor defects (small color variation, slight fraying - customer keeps materials)
• Delayed delivery (goodwill refund for inconvenience - typically $50-$100)
• Service issues (installer arrived late, minor installation issues - Platform fixes + goodwill refund)

5.5 Restocking Fees

No restocking fees for:

• Manufacturing defects
• Shipping damage
• Platform errors (wrong product shipped)

15% restocking fee for:

• Customer-initiated cancellation before production (if after 24-hour grace period)
• Returns of non-custom items (e.g., padding, accessories)

100% restocking (no refund) for:

• Custom-cut materials (cannot be resold)

6. Chargebacks and Disputes

6.1 Contact Platform BEFORE Filing a Chargeback

DO NOT file a credit card chargeback without contacting Platform first. If you have a dispute:

1. Email support@carpetinstallersdirect.com or call [phone number]
2. Describe the issue and provide documentation
3. Allow 10 business days for investigation
4. If unresolved, follow dispute resolution process (mediation/arbitration - see Dispute Resolution Agreement)

6.2 Consequences of Chargebacks

If you file a chargeback:

• Account may be suspended until dispute is resolved
• Platform will contest fraudulent chargebacks (provide evidence to card issuer)
• Legal action may be pursued if chargeback is determined to be fraudulent

Valid reasons for chargeback:

• ✅ Unauthorized transaction (someone used your card without permission)
• ✅ Platform charged you but did NOT deliver materials or services
• ✅ Platform charged you more than the authorized amount

INVALID reasons for chargeback:

• ❌ You are dissatisfied with materials (should request refund through Platform)
• ❌ Installer did poor work (should contact Platform for warranty claim)
• ❌ Materials were delayed (should contact Platform for status update)

6.3 Chargeback Fees

If you file a fraudulent chargeback, Platform may charge you:

• $25 chargeback processing fee
• Legal fees if Platform pursues legal action (up to $500 for small claims)

7. Late Fees and Penalties

7.1 Rescheduling Fees

Customer-initiated rescheduling (Full Service tier):

• First reschedule: Free
• Second reschedule: $50 fee
• Third+ reschedule: $100 fee + potential project cancellation

Charged to original payment method.

7.2 Delivery Storage Fees

If you fail to receive delivery:

• First failed delivery: Free (carrier re-attempts delivery)
• Second failed delivery: $50 storage fee (carrier charges Platform; Platform passes cost to customer)
• Third failed delivery: $100 storage fee + potential order cancellation

7.3 Late Payment Fees (Financing Only)

If you use financing (Affirm, etc.):

• Late payment fees are set by the lender (not Platform)
• Refer to your lender agreement for fee schedule

Platform does NOT charge late fees for late payment (payment is due at checkout; orders do not ship until payment clears).

8. Payment Security and Fraud Prevention

8.1 PCI-DSS Compliance

Platform uses Stripe for payment processing (PCI-DSS Level 1 certified - highest security standard).

We do NOT store:

• ❌ Full credit card numbers (Stripe tokenizes cards)
• ❌ CVV codes (not stored per PCI rules)
• ❌ Unencrypted payment data

We DO store:

• ✅ Last 4 digits of card (for reference)
• ✅ Card brand (Visa, Mastercard, etc.)
• ✅ Expiration date (to notify you of expired cards)

8.2 Fraud Detection

To prevent fraud, Platform may:

• Request additional verification for large orders ($5,000+)
• Contact you via phone to verify order details
• Require billing address to match card on file
• Reject orders from high-risk IP addresses or email domains

If your order is flagged:

• Platform will email you within 24 hours
• Provide requested verification (photo ID, billing statement, etc.)
• Order ships once verification is complete

8.3 Protecting Your Payment Information

Your responsibilities:

• Use secure internet connection (avoid public Wi-Fi for checkout)
• Keep password confidential (do NOT share with anyone)
• Monitor account for unauthorized charges
• Report suspicious activity immediately (security@carpetinstallersdirect.com)

8.4 Liability for Unauthorized Charges

If your card is used without authorization:

• Contact your card issuer immediately (most issuers have $0 fraud liability)
• Email Platform at security@carpetinstallersdirect.com to report fraud
• Platform will cancel order and issue refund (if order has not shipped)

Platform is NOT liable for unauthorized charges (unless caused by Platform's security breach).

9. Payment Holds and Escrow (Full Service Tier)

9.1 Escrow for 50/50 Payment Plan

If you select 50/50 payment plan (Full Service tier):

• 50% paid at checkout (materials + shipping)
• 50% held in escrow (platform fee + installation labor)
• Escrow released upon installation completion (after you approve final walkthrough)

9.2 Escrow Release Conditions

Escrow is released to installer when:

1. ✅ Installation is complete
2. ✅ Customer approves final walkthrough (signs acceptance form)
3. ✅ No disputes filed within 48 hours of installation

If customer disputes installation quality:

• Escrow is held until dispute is resolved
• Platform investigates and determines if installer is paid (or if re-work is required)

9.3 Escrow Refunds

If installation is canceled (installer no-show, unforeseen site conditions):

• Escrow refunded to customer within 5-10 business days
• Materials charge is NOT refunded (materials already shipped)

10. International Payments

10.1 Currency

All prices are in United States Dollars (USD).

If you use a non-U.S. card:

• Your bank converts USD to your local currency (at their exchange rate)
• Foreign transaction fees may apply (typically 1-3% of transaction - check with your bank)

Platform does NOT control exchange rates or foreign transaction fees.

10.2 International Payment Methods

For international customers:

• PayPal may be available (contact support@carpetinstallersdirect.com)
• Wire transfer for large orders (by prior arrangement)

10.3 International Taxes and Duties

Platform does NOT collect taxes or duties for international orders (except U.S. sales tax). You are responsible for:

• Import duties (if applicable in your country)
• VAT or GST (if applicable)
• Customs clearance fees

11. Gift Cards and Promotional Codes

11.1 Gift Cards

Platform may offer gift cards (physical or digital):

• Redeemable for materials or services
• No expiration date (unless required by state law)
• Non-refundable (cannot be redeemed for cash)
• Balance inquiry: Email support@carpetinstallersdirect.com with gift card number

11.2 Promotional Codes

Platform may offer promotional codes (discounts, free shipping, etc.):

• One promo code per order (cannot stack multiple codes)
• Expiration date applies (code must be used before expiration)
• Restrictions may apply (minimum order amount, specific products, first-time customers only)

Promo codes cannot be applied retroactively (must enter at checkout).

11.3 Referral Credits

Platform may offer referral programs:

• Referrer receives credit (e.g., $50 credit for each successful referral)
• Referee receives discount (e.g., $50 off first order)
• Credit applied to future orders (not redeemable for cash)

Terms of referral program are subject to change. Abuse (creating fake accounts, self-referrals) results in account termination.

12. Billing Errors and Disputes

12.1 Review Your Receipt

After checkout, review your order confirmation email carefully. Verify:

• Products ordered (style, color, quantity)
• Pricing (materials, fees, shipping, taxes)
• Delivery address (correct address)

Report errors within 24 hours (before order enters production).

12.2 Reporting Billing Errors

If you notice a billing error:

1. Email billing@carpetinstallersdirect.com with:
   • Order number
   • Description of error (e.g., "charged twice," "incorrect tax amount")
   • Supporting documentation (bank statement, order confirmation)
2. Platform investigates within 5 business days
3. If error confirmed, Platform issues refund within 10 business days

12.3 Common Billing Issues

Duplicate charges:

• May occur if you clicked "Submit Order" multiple times
• Platform refunds duplicate charge within 3-5 business days

Incorrect tax:

• Platform uses automated tax calculation (usually accurate)
• If error, Platform refunds excess tax

Incorrect shipping cost:

• Shipping cost is calculated based on ZIP, weight, distance
• If error, Platform refunds difference

13. Payment Plans and Financing Terms

13.1 Affirm Financing (Example)

If you select Affirm financing:

• APR: 0%-30% (based on credit score)
• Terms: 3, 6, 12, or 24 months
• Monthly payment: Calculated at checkout (fixed payment, no surprises)
• Late fees: Set by Affirm (typically $25 per late payment)
• Prepayment penalty: None (pay off early without penalty)

You enter into a separate loan agreement with Affirm. Platform is NOT the lender. Disputes about financing must be resolved with Affirm.

13.2 Credit Check

Affirm performs a soft credit check (does not affect credit score) to show you offers. If you accept an offer, Affirm performs a hard credit check (may impact credit score by a few points).

13.3 Payment Responsibility

You are responsible for making payments to lender (Affirm, etc.). If you default:

• Lender may report to credit bureaus (damaging your credit score)
• Lender may pursue collections
• Platform is NOT involved in collections (debt is between you and lender)

14. Governing Law and Disputes

14.1 Georgia Law Applies

This Payment Terms agreement is governed by the laws of the State of Georgia.

14.2 Dispute Resolution

Payment disputes must be resolved via:

1. Informal resolution first: Contact billing@carpetinstallersdirect.com
2. Arbitration: If unresolved (see Dispute Resolution & Arbitration Agreement)

No class actions: You agree to resolve payment disputes individually.

15. Modifications to Payment Terms

Platform may update these Payment Terms by:

• Posting updated version at [website URL]
• Incrementing version number
• Notifying customers via email

Changes apply to future orders only (not retroactive).

16. Contact Information

For payment questions:

Carpet Installers Direct - Billing Department
Email: billing@carpetinstallersdirect.com
Phone: [Phone Number]
Address: [Physical Address, Georgia]
Business Hours: Monday-Friday, 9 AM - 5 PM EST

For tax questions:
Email: tax@carpetinstallersdirect.com

For fraud/security:
Email: security@carpetinstallersdirect.com

17. Summary of Key Points

Payment methods: Credit/debit cards (via Stripe), ACH, financing (Affirm)

Payment timing:

• Materials Only/BYOI: 100% at checkout
• Full Service: 100% at checkout or 50/50 split (50% at checkout, 50% upon completion)

Refunds:

• Manufacturing defects, shipping damage, Platform errors: Full refund
• Custom-cut materials: No refund
• Cancellation before production: Refund minus $99 fee
• Cancellation after production: No refund on materials

Chargebacks: Contact Platform first (chargebacks may result in account suspension)

Rescheduling fees: $0 first time, $50 second time, $100 third+ time (Full Service tier)

Effective Date: January 1, 2026
Version: 1.0
Document ID: PAYMENT-TERMS-2026-v1.0

Attorney Review Notes

⚠️ IMPORTANT: This document should be reviewed by a Georgia-licensed attorney before use. Key areas requiring review:

1. PCI-DSS compliance - Verify Stripe integration meets all PCI requirements; confirm Platform is NOT storing prohibited data
2. Chargeback handling - Ensure chargeback policies comply with card network rules (Visa, Mastercard, etc.)
3. Escrow/payment holds - Verify escrow process for Full Service tier is legally sound (especially installer payment conditions)
4. Refund timing - Ensure refund policies meet FTC Mail Order Rule (refunds within 7 days of return receipt or cancellation)
5. Tax collection - Confirm sales tax collection meets Georgia and destination-state requirements (nexus, marketplace facilitator rules)
6. Financing disclosures - Verify Affirm integration meets Truth in Lending Act (TILA) requirements
7. Gift card regulations - Ensure gift card terms comply with state laws (expiration dates, fees, escheatment)

Recommended attorney budget: $250-400 for Payment Terms review