Summary
This process can reverse a payment, leaving a credit on the account. It can also reverse a payment where a check was returned for insufficient funds. It can also be used to refund a payment back to a credit card.
Key Points
Refund an Overpayment
Reverse a payment in the case of insufficient funds
Refund a credit card payment using Settings > CC Payments Stripe (Unified)
Refund a credit card payment using Settings > CC Payments (Stripe)
Processing refunds and payment reversals
Refund an Overpayment
When your client overpays an invoice and would like a refund of the overpaid amount (account credit), please follow these steps:
Go to the Customer Account > Payment Tab
Find the payment with the overpayment: it will have an amount in the Unapplied Amount column
Click the drop-down arrow to the right of the Edit Button, select REFUND
In the Refund window, input the total amount to refund and a memo about the refund in the Note text box
Click Save & Apply to complete the refund
Reverse a payment in the case of insufficient funds
The most straightforward process is to delete the original payment. This action will remove the payment from this customer's payment history. Also, remove the payment from the invoice to which it was applied. However, this action can "dirty the water" as it ends any paper trail abruptly.
To maintain historical events. You can follow these instructions to reverse a payment and enter notes describing the events.
Go to the Customer Account. Identify and note which invoice was paid using the returned check.
Go to the Customer Account > Payments tab
Find the payment returned with insufficient funds and click the Edit button to the right.
In the INOVICES PAID WITH THIS PAYMENT section. Remove the Amount applied to the invoice(s) and click the green Save & Apply button. NOTE: This will increase the Open Invoice total found at the top of the customer account page by an amount equal to the payment.
Click the drop-down arrow to the right of the Edit button, select REFUND
Verify that the Amount matches the returned check amount in the Refund window. Add a memo about the reversal in the Note text box
Click Save & Apply to complete the refund
If necessary. Edit the invoice noted in step one. Click the Add line. Click in the Type field and add Fee or Other. In the Description field. Add NSF Charge followed by entering an amount for the NSF fee.
Refund a credit card payment
Before you begin the credit card refund, verify what type of Stripe account your company uses. This can be found in Settings > Company Settings > CC Payments (Stripe) or Settings > Company Settings > CC Payments Stripe (Unified).
If you need clarification, consult with your Admin staff. Alternatively, you can contact us, and we will help you out.
Refund a credit card payment using CC Payments Stripe (Unified)
Go to the Customer Account. Identify and note which invoice was paid using the credit card.
Go to the Customer Account > Payments tab
Find the payment that needs to be refunded and click the Edit button.
In the INOVICES PAID WITH THIS PAYMENT section. Remove the Amount applied to the invoice(s) and click the green Save & Apply button to return to the Payments tab. NOTE: This action will increase the Open Invoice total found at the top of the customer account page by an amount equal to the payment.
On the same payment, click the drop-down arrow to the right of the Edit button and select REFUND.
In the Refund window, verify that the Amount matches the original credit card payment amount. The reference field should match the original reference number issued by Stripe during the original payment. Add a memo about the reversal in the Note text box.
Click Save & Apply to complete the refund.
The refund will automatically be processed in Stripe (Unified).
Refund a credit card payment using Settings > CC Payments (Stripe)
The steps for processing a credit card in CC Payments (Stripe) are the same as when refunding a credit card payment using CC Payments Stripe (Unified) with an additional step.
Log into your Stripe account, find the payment, and execute a refund.