By default, Loop allows merchants to automatically process returns using carrier-provided processing events. For instance, a return can be processed as soon as the shipping provider marks the goods as in_transit after scanning. However, some merchants prefer greater control over the process by inspecting returned goods before completing the return. In this scenario, automatic processing is disabled, and Loop instead waits for Process or Flag events from the merchant’s warehouse system to complete or flag the return. To implement this functionality, use the Process and Flag endpoints in our Returns API. This approach ensures alignment with your warehouse inspection workflow while maintaining manual control over the return inspection process.
If you are flagging a return for manual review, we recommend also using the Return Note endpoint to document the reason for the flag within the return object in Loop.

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Example of a Common Flow