This article goes over the process of issuing credits and refunds, as well as the circumstances in which it is appropriate for them to be issued.

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1. The difference between a 'credit' and a 'refund'.

Both credits and refunds refer to payments that are being reversed.  The difference is that with a credit the reversed funds remain in the client's account and are automatically applied to future invoices until it has been used in full.  With a refund the reversed funds are returned to the client's original form of payment.  

2. Credits

Credits are issued when we have charged someone in error.  If a credit is being requested due to an error made by the client, check with your supervisor before proceeding.   Credits do not automatically sync with Quickbooks so they need to be added in both Quickbooks and Chargeover.

  1. Add the credit to Quickbooks
    1. Pull up the client's account in Quickbooks and select New Transaction > Credit Memo
    2. Locate the 'Credit Memo no.' field on the right hand side and add 'CM' to the end of the 5 digit number.  (Not including the 'CM' can result in an accidental duplication of a transaction number between QB and CO)
    3. Add the name of the product that is being credited.  If it is a user fee add the user's name in the 'description' box.  Update the quantity and rate if needed.   Often times there will be a checked box under the 'Tax' column, you will need to uncheck that box (not all clinics are charged tax, and we do not issue credit for taxes anyway).
      If you forget to uncheck the Tax box you'll receive the following error until you uncheck it.
    4. Once all the applicable products have been added, click the 'Save and Close' button in the bottom right corner. (If the button does not say that, use the drop down to make that selection).  Once closed, the client's account should show a negative balance.
  2. Add the credit to Chargeover
    1. Pull up the client's account in Chargeover and go to the 'Payments' tab.  Select "Add a Credit"
    2. Enter the credit amount (make sure it matches the credit amount in QB). Add a note detailing the reason for the credit. If there is an associated Freshdesk ticket the link to the ticket will suffice. (The majority of the time there will not be any invoices listed under "Select Applied Invoices". In the unlikely event there is an invoice option, please do not select it as that can complicated billing if there is a payment on the way). After the amount and note are added click 'Save'
    3. An email window will pop up.  You will need to manually enter the reason for the credit so that the client has that info for their records.  
    4. Send the email, then go to the client's Overview page to make sure the credit is showing.
    5. That's it!  Good work!

3. Refunds

    • Nothing is handled in Quickbooks when doing refunds.  Everything happens in Chargeover.
    • A refund can only be issued if the original payment has been fully processed.
      • Credit card payments are processed immediately.
      • ACH payments take 5-10 business days to process (usually 6).
    • Refunds must be issued to the original form of payment.  Attempting to issue a refund to another account will result in the refund being rejected.  If for some reason the original form of payment is not an option we will need to issue a paper check (which can only be issued by Courtney or Jonathan).
    • Refunds are typically only issued when a client cancellation has been finalized in the middle of a billing cycle.  If you encounter a different scenario where you feel a refund makes more sense than a credit (such as an entire invoice being issued in error) please reach out to your supervisor to discuss the scenario before proceeding.

  2. Pull up the client's account in Chargeover.  Go to the payments tab and open the payment you want to refund.  On the right side under "Payment Actions" select the refund option.  (If the Refund option is not there it means the payment has not processed and cannot yet be refunded).
  3. The payment method will automatically populate.  If you are only issuing a partial refund, you will need to adjust the amount. Make sure to leave a detailed note about why the refund is being issued.  Once the amount and note have been added, click the 'refund' button.

  4. You will also need to leave a detailed note about why the refund is being issued.  If there is an associated FD ticket you can leave the link to that as well.  

  5. An email window will pop up with the refund details.  You will need to manually enter the details before sending the email.

  6. Send the email.  YOU'RE DONE!