TikTok Shop Malaysia Returns And Refunds Policy & SFCR Update (2026)

In this guide, we break down what is changing, the dates that matter, what you need to do, and how BigSeller can help you stay compliant.

Key Dates at a Glance

• 15 October 2026: Stricter SFCR enforcement begins.

• 27 October 2026: Updated Returns and Refunds Policy takes effect (7-day appeal window and video evidence rules).

New TikTok Shop Returns and Refunds Policy (Effective 27 October 2026)

To give sellers more clarity in the aftersales process, TikTok Shop is spelling out two things: how long you have to appeal and what evidence you must provide when you dispute a return or refund request.

The 7-Day Appeal Window

You will have 7 calendar days to appeal the first round of platform-approved refund requests. Calendar days include weekends and public holidays, so do not wait until the last minute.

What if you miss the deadline? Once the appeal window passes, you may no longer be able to appeal a platform decision you disagree with. TikTok Shop recommends submitting your appeal as early as possible.

When an Unpacking (Unboxing) Video Is Mandatory

An unpacking video is required when you appeal because:

• The product returned is not the product that was sent

• Products or parts are missing

• The product was used and is no longer fit for sale

• The product is physically damaged

• You selected "Buyer chose the wrong return reason" and want to dispute the condition of the returned product

When a Packing Video Is Mandatory

A packing video is required if your appeal reason is aligned with the buyer's return reason. For example, if the buyer selects "Wrong Product Sent" and you are appealing because you believe you sent the right product, you must submit your packing video.

What Your Video Must Show

Videos must be continuous, clear, and show no signs of editing. A valid packing video should clearly show:

1. The condition of the item before packing

2. The item being placed into the package

3. The shipping label being applied to the sealed package

What If Your Evidence Doesn't Meet the Requirements?

Video evidence that does not meet the requirements may not be accepted. Following the stated requirements gives your appeal the best chance of success.

Your Action Checklist

• Note the new 7-day appeal window and review returns daily.

• Review TikTok Shop's updated evidence requirements and examples.

• Set up a consistent packing video process for every order.

• Record an unboxing video every time a return arrives.
   

Stricter Enforcement for High SFCR (From 15 October 2026)

TikTok Shop is also updating its enforcement actions for shops with a high Seller-Fault Cancellation Rate to keep the shopping experience reliable and consistent for customers.

What Is the Seller-Fault Cancellation Rate (SFCR)?

SFCR measures the percentage of orders cancelled due to the seller's fault within a 7-day window. TikTok Shop advises sellers to keep their SFCR below 2.5%.

What Happens If Your SFCR Is Too High?

From 15 October 2026, shops that exceed the acceptable threshold face progressive enforcement based on cancellation volume and rate:

• Account Health Rating (AHR) deductions: Up to 40 AHR points may be deducted, depending on how severe the breach is.

• Order Volume Limits (OVL): Shops with a high volume of seller-fault cancellations (30 orders or more) may continue to face existing Order Volume Limits while they improve fulfilment performance.

Action Required

Review your inventory and fulfilment processes to make sure every active listing can be dispatched on time. If you cannot fulfil an order, communicate with the customer and keep your stock figures accurate.



 

How to Reduce SFCR and Protect Your Appeals with BigSeller

Both updates come down to the same thing: accurate stock, fast fulfilment and solid proof. BigSeller, a free cloud-based ecommerce ERP built for Southeast Asian marketplace sellers and trusted by over 1,100,000 sellers across Malaysia, the Philippines, Indonesia, Thailand, Vietnam and Singapore, can support each of these areas.

1. Real-Time Multi-Channel Inventory Sync

Overselling is one of the most common causes of seller-fault cancellations. BigSeller shares inventory across all your connected stores and platforms and pushes stock updates in real time, so your listings always reflect what is actually on the shelf.

2. Reserved Inventory

When a product joins a TikTok promotion, BigSeller's Reserved Inventory sets aside stock for promotional orders only, then automatically releases any leftover quantity back to available inventory when the event ends.

3. Video Recording

The new TikTok Shop policy puts video evidence at the centre of every appeal. BigSeller Video Recording automatically records your warehouse operations during Scan Package, Scan to Inspect and Scan to Ship, and saves each video by order and tracking number, so you can find the right footage fast when a dispute or appeal comes in.

4. After-Sales Order Interception

TikTok buyers can request a refund-only cancellation before an order ships, but those parcels could still go out the door. Turn on TikTok After-Sales Order Interception in Settings, and BigSeller blocks these orders from being shipped through Manual Ship, Scan to Ship, Scan to Inspect or Capture Proof, on both PC and app.

5. After Sales Management

BigSeller's After Sales Management handles Shopee, Lazada, and TikTok Shop returns in one place. Returning and returned packages appear on the Stock-In / Return page, where you can stock in manually, in batch or by scanning, and filter by return status and arrival time to spot returns that never arrived.

Don't let the new TikTok Shop rules catch you off guard. Try BigSeller for free and claim your 7-day VIP trial coupon to sync stock, intercept refund-only orders, stock in returns and record packing videos in one system.

Sources

Returns And Refunds

Seller-Fault Cancellation Rate (SFCR)