Payment Refunds

A Payment refund reverses all, or part of an existing Payment. The refunded amount is unapplied from the Invoice, increasing its amount due and reopening it for payment when applicable.

Use a Payment refund to correct or reverse a Payment when the customer is still responsible for the Invoice balance.

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Refunding a Payment un-applies the refunded amount from the Invoice. If the Invoice was paid, it will reopen for payment.

Choose the Correct Refund Process

Zoey supports two refund processes with different effects on the Invoice.

Process	Use When	Invoice and Payment Impact
Credit Memo	The customer is receiving credit or a refund and will not need to repay it.	The original Payment remains applied and the Invoice remains paid.
Payment Refund	An existing Payment needs to be reversed or corrected and the customer will need to send another payment for the Invoice balance.	The refunded amount is unapplied and the Invoice reopens for payment.

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All product returns and refunds where repayment is not expected should be processed through a Credit Memo.

Credit Memo

Use a Credit Memo when issuing credit or a refund the customer will not be expected to repay.

Key details:

Create an item-based, or amount-based Credit Memo through the Order, Invoice, or Account.
Choose to Credit the Account, or issue an online or offline refund.
Credit on the Account is applied automatically to eligible open Invoices.
Credit Memos do not unapply Payments or reopen paid Invoices.
Item-based Credit Memos can return credited quantities to stock.
Credit transactions can be voided.

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Use a Payment Refund when reversing a Payment and reopening the Invoice for payment.

Learn how to create a Credit Memo.

Payment Refund

You can refund a custom partial or full amount from any individual Payment, up to the total amount collected. Refunds can be sent back to the original credit card (online) or recorded manually (offline). Partial refunds are reflected in both the Invoice and Payment totals.

To process a Payment Refund:

Open the Payment or Deposit you want to refund.
Click the 3-dot menu on the Payment.
Select Refund.
Choose the Refund Type.
Enter the refund amount or percentage.
Confirm and submit the refund.

Refunds can be Online or Offline.

Online Refund

An online refund returns funds to the customer's original payment method through the payment processor (e.g., Stripe). To issue an online refund, leave the Refund Type set to Online and enter the refund amount.

Offline Refund

An offline refund updates the paid status of an Invoice without processing a transaction through a payment gateway. Use an offline refund when giving a cash refund or correcting an accounting error. To issue one, set the Refund Type to Offline and enter the refund amount.

Refund Transaction Record

Refunds are displayed in the Transactions section as well as in the associated Invoice's Linked Transactions. Within the Invoice you can see the original Payment and how much of it is still applied. The Refund totals are displayed as negative amounts in red text.

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Click on any Transaction to open it and view its details!

There is an Audit Log on every Transaction including on the Refund. Within the Audit Log you can see history of any edits made or Offline refunds can be deleted!

When a Payment is completely refunded it will still display under Linked Transactions on the Invoice. The Refund will also be shown with its total and the amount of the refund which is applied to this Invoice.

Editing Refund

Refunds for Offline payment Methods can be Edited! You can adjust the recorded refund amount through editing the Refund. You can choose to edit an Offline Payment's amount instead of Refunding if that is more applicable.