In Google Local Services Ads (LSA), many advertisers assume Google only charges for perfect leads. In practice, charging happens before your team fully validates intent and fit.
That is why bad LSA leads can still appear as billable until they are rated and reviewed for credits.
Why charges happen on low-quality calls
Common reasons include:
- The lead initially appears valid based on call behavior
- Qualification details are only discovered during or after the call
- Operations teams do not classify and rate fast enough
- Evidence quality for credit requests is inconsistent
This does not mean every bad lead is refundable. It means your process determines how much waste you recover.
Separate unavoidable noise from avoidable waste
Unavoidable noise
- Some market-level spam and wrong-number traffic
- Seasonal intent volatility
- Category-specific browsing behavior
Avoidable waste
- Broad service areas with low fulfillment capacity
- Slow response that turns qualified inquiries into missed opportunities
- No standard lead-rating workflow
Most accounts can reduce avoidable waste materially in 30 to 60 days.
Build a spend recovery system
Use this operating model:
- Review all new leads within 24 hours
- Apply standardized dispositions
- Rate unqualified leads and request credits with transcript-backed evidence
- Track approval rate by reason category
- Retrain intake and profile settings every week
For the full workflow, see How to Dispute Google Guaranteed Leads (Step-by-Step Guide).
Track the metrics that matter
Do not manage this issue with CPL alone. Use:
- Invalid lead rate
- Credit request rate
- Credit approval rate
- Net cost per qualified lead
If these are improving, your account is getting healthier even if top-line lead count is flat.
Fix the upstream drivers of bad charges
To reduce future charges, improve the inputs:
- Tight service scope and geo coverage
- Better call scripts and fast response SLAs
- Consistent lead rating methodology
If quality itself is unstable, start with Why Google Local Services Leads Are Low Quality (And How to Fix Them).
How LeadUp helps recover and prevent wasted spend
LeadUp is designed to maximize both credit recovery and future lead quality.
- Direct LSA connection with MCC client imports
- Automatic call transcripts and summaries for faster lead reviews
- In-platform lead scoring to standardize valid vs invalid outcomes
- Better documentation quality for credit requests and internal QA
- Feedback loops that help optimize toward qualified calls, not noisy volume
Final takeaway
You get charged for some bad LSA leads because billing and qualification happen on different timelines. Teams that win are the ones with fast review, disciplined lead ratings, and strong quality feedback loops.