Important Terms:
ACH: ACH is an electronic funds transfer (EFT) between two bank accounts using the Automated Clearing House (ACH) network. It's a secure way to transfer money without using paper checks, wire transfers, or cash.
Refund: A refund is returning a settled payment to the customer. Refunds can be processed as partial or full refunds.
Void: A void transaction immediately reverses a credit or debit card payment before any funds are moved from the customer’s account to the business’s account. ACH, credit and debit card voids are not possible.
Important Timelines:
- A payment is able to be refunded up to 180 days in the past for an ACH or credit card payment.
- A payment that was processed more than 180 days ago, would need to be refund the customer externally from Service Fusion and process an internal refund payment in Service Fusion.
- Refunds can be expected to arrive in your customer's account within 10 days of the refund being processed. If your customer does not see the refund and they still see the original charge after 10 business days, they should reach out to their bank for more information.
If refunding an ACH payment in FusionPay, it is best practice to wait for the payment to settle before performing the refund. If refunded before the ACH payment settles, the funds will transfer from the Merchant Account to the customer's bank account immediately. This could be a problem if the ACH payment were to decline for any reason.
Refund Fees:
- Both the authorization fee and the processing rate are charged for the initial charge.
- Both the authorization fee and the processing rate are charged for the refund.
Syncing with QuickBooks:
- Refunds can sync to QuickBooks Desktop. They will sync from Service Fusion into QuickBooks Desktop as a refund payment and a credit memo. This will need adjusted manually in QuickBooks Desktop.
- The refund payment will need to be manually entered into QuickBooks Online, as refunds cannot sync from Service Fusion to QuickBooks Online.