Sometimes a refund gets entered for more than the customer is actually owed — for example, you meant to refund $50 but entered $100 instead. This is called an over-refund. You'll fix it by lowering the credit to the correct amount, then posting a payment for the difference so the customer's account balance stays accurate.
Step 1 — Lower the Credit Amount
Open the over-refund transaction on the customer's account. In the credit field (shown in blue), change the amount from what was mistakenly refunded to the amount that should have been refunded.
Example: If you refunded $100 but should have refunded $50, change the credit amount from $100 to $50.
Step 2 — Post a Payment for the Difference
Next, post a payment on the customer's account for the difference between what you refunded and what you should have refunded. This records that the customer owes you back that amount. Click the "+" button in the invoice then choose "post a payment."
Example: You refunded $100, but it should have been $50 (a $50 difference). After lowering the credit to $50 in Step 1, post a payment of $50 to the customer's account to account for that difference.
Step 3 — Worked Example
Here's a full example showing how the two steps work together:
The customer paid $300 total. You refunded $100, but should have only refunded $50 — $50 too much. They received $100 back from you. To correct this: you lower the credit to $50 (Step 1), which is the amount you should have refunded. Then you post a payment of $50 to their account (Step 2), which is what they now owe back to you from the original $100 refund.
NOTE: If you're unsure of the correct refund amount before making these changes, double-check with your team before adjusting the credit