All Collections
Dispute Resolution Center
Recommendations for Setting a Cancellation Policy
Recommendations for Setting a Cancellation Policy
Training BLVD avatar
Written by Training BLVD
Updated over a week ago


The purpose of this article is to provide insight to Boulevard customers who either have or are thinking about implementing a Cancellation Policy that if violated by your client(s); results in a fee being charged. Issuing Banks (ex: Chase, Capital One, Citibank) and Card Networks (Visa, Mastercard, Discover, American Express) have requirements that businesses will want to consider adhering to, when they create or develop their policy.

Card Network Requirements

The card networks require that a business disclose the terms of a Cancellation Policy to a cardholder (your client) with a minimum of 24-hours notice before a fee for violating a policy can be applied. If a dispute arises related to a Late Cancel or No-Show fee and it is discovered a business charged a cardholder without proper notice or proof a policy was properly disclosed; the Issuing Bank will often favor the cardholder (your client) in the dispute.

Best Practices to Consider

  1. Publish a link at the top of your website titled "Cancellation Policy" that is easy to find for your clients and as an extension your clients Card Issuing Banks. Be specific about the rules for your policy including ways to avoid violating it (do you allow a grace period or other accommodations?), what the consequences are for violating it, and what number or email they are required to send their cancellation request to. Be as specific as possible so there is no confusion as to what your policy is.

  2. For all new and existing clients, send an appointment confirmation email that also highlights your cancellation policy requirements in detail. And/or do this via Text Messaging too.

  3. Publish your policy at the bottom of your receipts that you send to your clients whenever a purchase is made.

  4. For all new clients (and it is also recommended to capture this for recurring existing clients) disclose your Cancellation Policy and have your clients acknowledge and agree to it by signing and dating it. We do have a form feature to document this information under your clients profile as well.

  5. The Card Brands, Visa/Mastercard/Discover/American Express, require that a business disclose to a cardholder (your client) the policy with a minimum of 24-hours notice before a Cancellation/No-Show fee can be commenced.

  6. If you charge a fee, it is recommended to create a billing category for Late Cancel/No-Shows that can be displayed on a receipt.

It is recommended to publish your policy in as many places as possible so that should your client(s) Late Cancel or No-Show and get charged a fee per your policy; they cannot claim they never had it disclosed to them and/or were not aware of your policy. If a dispute arises, you have all of your ducks in a row to show all of the places you have disclosed your policy to your client(s).

Did this answer your question?