This explains how to refund a customer's payment that was made through cash, checks, other merchant services, etc. If you need to reverse a credit card or ACH payment from TrashBilling seeReverse a TrashBilling Payment .

Before You Begin

Any Trash Flow license with Billing will allow you to record a refund. If you are refunding the customer via check it's best to write the check out first, or at least know which check number you will use.

Context

Most companies will inevitably have to refund a payment sooner or later. Customers move away, cancel service after a payment was processed, sign up for service before realizing they live too far away, dispute services, etc. The steps listed below explain how to record a refund, but if you are ever in doubt of what to do or need assistance then please call Tech Support at 800-708-8642.

Record the Refund

1. Open the account of the customer who needs money refunded.
2. Navigate to the History tab and click the payment to highlight it.
3. Right-click and click Reverse Payment.
4. A window appears asking if you want to enter the check number you're using for the refund. Fill in this field if you have that information, then click OK.
5. The reversal appears in the customer history; note that since it acts as a negative payment this reversal will increase their balance.
6. The generally accepted accounting method to resolve that higher balance is to then issue a matching Issuing a Credit to the customer's account, leading to a net 0 change, i.e. if you refund them $97 then also add a credit of $97.

See Also

Reverse a TrashBilling Payment