Recording a Refund Without Returning Funds

Best Suited for:

• Back Office users managing financial records
• Users handling ACH voids, disputes, or manual refund tracking

Important Information:

• This process is for record-keeping only; no funds are returned to the customer
• Ideal for ACH voids, disputes, external refunds, or cancellations
• This is the recommended workflow for processing an internal refund, using the corresponding custom payment method. It allows you to isolate and report on these type of refunds specifically, when pulling reports
• Requires the creation of a custom payment method (not credit card or ACH)
• Refunds appear as negative deposits on the job/invoice and can be updated to show no payments on the invoice

For processing a void or refund, Service Fusion Support Team is not authorized to perform these actions on your behalf.

Strategic Workflow:

• Use this method when a refund or void occurs outside of Service Fusion
• While Credit Memos are not possible in Service Fusion 
• Helps maintain accurate transaction history without affecting customer balances
• Supports audit trails and internal documentation

Process Description:

1. Navigate to the job associated with the invoice
2. Open the Deposits window to view payment history
3. View the original payment details on the right side
4. In the "Process Transaction" box (left side), select the custom payment method, Internal Refund
5. Set the "Transaction Type" to Refund
6. Fill in the required fields and add a Payment Memo if needed
7. Click Submit Transaction and confirm
8. The refund will appear as a negative deposit on the job/invoice
9. Convert the refund deposit to an invoice payment for the total to show the invoice is outstanding

Step-by-Step Instruction:

Navigate to the Job and click on the Deposits button.

View the original payment details within the "Transaction History", do not click void or refund.

In the "Process Transaction" section, choose the custom Payment Method; do not use the credit card or ACH payment method. Fill in Check/Reference#, Received By, Received On, Payment Memo, and choose the "Transaction Type" of Refund. With the "Transaction Type" selected as Refund, the system will know to apply it as a negative payment. Click Submit Transaction.

A confirmation pop-up will appear as if the payment is positive. The payment will still be applied as a negative due to the "Transaction Type" - The payment is not shown as a negative, in this window which triggers the pop-up. Click Proceed to process the refund without returning funds.

The "Transaction History" will update to show that there is a Refund performed, as well as a green confirmation message showing that the refund has processed successfully. No funds are returned to the customer using this process. This is just a confirmation to confirm that a record was added to the history for reference ONLY.

Due to utilizing the Deposits function, it will record the refund payment as a deposit on the job/invoice. This will show that the invoice is open, with an amount due as shown by the Total Due field.

Please click the above image to enlarge

Convert the job deposit to an Invoice payment, which will update the invoice to show no deposits and no payments.