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When a customer refunds your paid app, Apple refunds its 30% cut [edited]

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Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#471

Has anyone confirmed this is true (or is this tweet the only source...)? https://developer.apple.com/forums/thread/105454 "Apple has the RIGHT TO withhold" https://news.ycombinator.com/item?id=23989256 It seems you can only get a refund by reporting a problem, which means if your app works as described you shouldn't be able to request a refund.

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Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#472

Payment processors generally don't refund fees on payments when the payments are refunded, this isn't new. It's remarkable mainly because (a) it's 30%, not 3% and (b) the App store doesn't position itself as a payments processor the way Stripe does, so it sounds really weird that they would act like one. If the app store took a 3% chunk and never refunded it regardless of the ongoing status of the transaction, that w…

Credit card companies (i.e., Visa, Mastercard) absolutely do refund fees on payments when the retailer processes a refund. This is why retailers generally require you to use the same method of payment to get your refund. It's uniquely online processors that do not refund fees.

I've bizarrely been refunded in cash multiple times at Wal Mart for card/app purchases.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#473

A Statement of Tim Cook for the House of Representatives claimed that "For the vast majority of apps on the App Store , developers keep 100% of the money they make." [1] How can this be even remotely true if Apple takes a 30% commission for every sale in the App Store? [1] https://docs.house.gov/meetings/JU/JU05/20200729/110883/HHRG...

He’s probably saying these are free apps which Apple doesn’t take any money for, and the money the developers keep are from ads or fees from clients and so on.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#474

Earlier quoted context omitted.

> Apple automatically reconciles the balance debiting the $100 from the payout balance Apple maintains. That's the part that puzzles me. If there's a refund, and they penalize me by charging $30 more than I was actually paid, I see that as being problematic. Also, I suspect that it would be illegal in some venues, unless clearly spelled out in the contract. I'll have to spend some quality time, reviewing my contract,…

Yeah, it looks like they can do exactly that. Here's the relevant part, from my agreement: > 6.3 In the event that Apple receives any notice or claim from any End-User that: (i) the End-User wishes to cancel its license to any of the Licensed Applications within ninety (90) days of the date of download of that Licensed Application by that End-User or the end of the auto-renewing subscription period offered pursuant t…

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Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#475

Payment processors generally don't refund fees on payments when the payments are refunded, this isn't new. It's remarkable mainly because (a) it's 30%, not 3% and (b) the App store doesn't position itself as a payments processor the way Stripe does, so it sounds really weird that they would act like one. If the app store took a 3% chunk and never refunded it regardless of the ongoing status of the transaction, that w…

The 30% cut is not a payment process cut or else this would fall under: usury, profiteering, rip-off.

For reference for folks who aren't familiar - in the US,even 3% would be an above market rate for credit card processing. The big companies like square and stripe are usually 2.9% for $0/year accounts, and rates go down from there. Smaller processors can do lower rates, and if you do over a few $100k/year, you can do lower with the bigger players as well.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#476

This isn't correct at all. This is a serious misunderstanding by someone in a pretty incredible way. Literally a single person claiming this and _multiple_ people refuting it from their own experience. Yet it's top of HN. Amazing. A lesson to never, ever trust anything here because the masses clicked an arrow.

LOL, it has since been retracted the author admitted it was their own misunderstanding.

Here the post still sits on the front page.

Don't ever change your adorable ignorance, HN. It's such a laugh.

And this will be auto-dead. I was spot on and completely right and got pummeled down by the imbeciles of this cesspool. Hilarious.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#477
post #466

Earlier quoted context omitted.

Leading to a _trivial_ solution. Want a refund? Awesome. Delete the software from your phone. Then, go to the appstore, find the app again, and click 'request refund'. If apple wants to improve the user experience, they can offer 'request refund' when someone uninstalls a recently bought app.

That would still mean that Apple would need to have a remote way of scanning every device currently connected to your account (even it's offline..?) to see if you have the app installed anywhere. It's trivial if the app can only exist on a single device and that is the only device that can request the refund. But that's not the reality.

> That would still mean that Apple would need to have a remote way of scanning every device

Why? Apple controls the OS, and can blacklist any App they want. They dont need to know whats installed on your device to prevent it from running.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#478
So to update and add to their old slogan: Think different... but we still keep our 30% cut

Tech in general has quite a few things about itself it needs to fix. Is it ethical for Apple to write the OS, run the store, sell its own wares AND compete with people it charges, eg 30%, to compete? Same question for other stores, eg Google? Both companies have analytics to determine which of the crop is successful and therefore needs to be harvested. Is this a level playing field? Do we expect such? Should we?

These aren't trivial or straightforward issues. It will be interesting to see over the next 20 years how this plays out. It would be better with a shorter time frame but... nothing involving legalities is usually fast.

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#479

Does this mean if there's a developer I don't like, I can buy their stuff and refund it to arbitrarily cost them money at no cost to myself and there's nothing they can do about it? That seems ... not great, especially these days. What happens when mobs of internet morons decide review bombing isn't sufficient and realize Apple will help them cause direct financial harm instead?

Apple doesn’t grant refunds willy nilly (anymore).

Re: When a customer refunds your paid app, Apple refunds its 30% cut [edited]

#480

Earlier quoted context omitted.

Which sources would those be? Someone linking to preliminary text of Apple's refund policy when they were forming the app store in 2009? Because that is meaningless. Apple takes back exactly what they gave the developer. There are zero sources demonstrating otherwise (and the source of this links a basic sales chart -- guess what, that doesn't prove his point whatsoever). There are literally a half dozen developers r…

cc @dang

He is caustic but not wrong. If anything, this story should be taken down. It’s factually incorrect and even the tweet in the link has been deleted.
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