ShipStation Delaying UPS Claim Payments

[AzbestekNYC]

Is anyone else dealing with insanely slow claim payments when UPS sends them through ShipStation?

Our experience has been beyond frustrating, and based on what we've seen, ShipStation doesn’t seem to care about fixing the issue.

Here’s what happened:

• UPS confirmed sending ShipStation payments for four lost package claims on February 11, 2025.

• Today is March 26, 2025 – 31 business days later – and we still have not received our credit.

• ShipStation originally stated that claims would be processed within 30 business days, meaning the absolute deadline is March 25, 2025.

• Yet, every time we ask for an update, we get generic, vague responses and are told to keep waiting.

When we first reached out, ShipStation support even denied having any record of the claims, despite us having prior confirmation that UPS had sent them. After multiple follow-ups, they finally acknowledged receiving the payments but then dropped this gem:

“This process for posting the credit on the account can take up to 6 weeks or 30 business days.”

Wait—why? UPS already did their part and sent the money. What exactly is ShipStation doing for six weeks? According to their agent, payments are sent to an off-site location where someone has to retrieve them, verify the accounts, and process them manually. But this doesn’t explain why:

1. We have past payments that were never credited until we chased them down.

2. If we don’t follow up, does ShipStation just keep the money indefinitely?

3. How does a billion-dollar company take longer to process a check than UPS took to investigate and approve the claim?

We’ve even requested UPS to send claim payments directly to us, but for some reason, many still end up going to ShipStation. So we’re stuck in this endless waiting game where our own money is being held hostage by their ridiculous system.

The latest response from ShipStation was, unsurprisingly, more stalling:

"Your request has been submitted to our billing team. We’re working as quickly as possible and will reach back out as soon as we have an update."

At this point, it’s clear that using ShipStation for UPS claims is a complete disaster. If you rely on ShipStation for claim processing, you may NEVER get paid unless you chase them down constantly.

Has anyone actually had success getting paid on time through them? If so, how? Or is everyone else stuck in the same mess?

[alainsblacksmit]

I was just wondering if there have been any updates or progress with your case.

[AzbestekNYC]

We’ve continued pushing on ShipStation, and it’s the same nightmare. Claims that UPS already paid out on 2/24 and 2/25 are still sitting in limbo. That’s well over 35 business days, and we’ve heard every excuse in the book.

Even when you escalate and they admit they have the money, it just gets “sent to billing” — and then nothing. It took multiple chases just to get someone to acknowledge ShipStation received the funds. If you don’t follow up endlessly, they literally don’t apply the credit at all.

They admitted past claims were never processed simply because we didn’t remind them. That’s not just inefficient — it’s unethical.

ShipStation says their policy is 30 business days to process credits after UPS sends payment. We’re now way past that, and all they do is apologize while stalling.

The old claims were finally paid, but only because we chased them for months. This batch is shaping up exactly the same. Anyone relying on ShipStation for claims should be aware: if you don’t aggressively follow up, your money might just disappear into a black hole.

[CaraAdmin]

Hello @AzbestekNYC!

Thank you for your post in the community! We appreciate you bringing this to our attention. I see that your refund was issued last Friday 3/28/25. We appreciate your patience while your refund was processed. 

Happy Shipping!

-Cara

[AzbestekNYC]

Hello CaraAdmin,

Thank you for your response. However, I must point out that while the refund was issued, we already have other claims that are over 35 business days overdue from the moment they were paid by UPS. The delays are becoming increasingly problematic, and this ongoing issue is putting a strain on our operations.

It would be nice if someone could finally find a solution to this issue instead of just providing generic responses and allowing the problem to persist. We urgently need a resolution to avoid further delays and frustration.