What is a refund?
A refund returns money already paid by the customer — for cancelled orders, returned goods, or service failures. Issue it against the original payment with a receipt or credit note, and process it to the original payment method when possible. Refunds cost you the sale but buy you reputation.
In practice
A customer returns a $120 jacket within the return window. The store refunds $120 to the original card and emails a receipt marked 'Refund — $120.00.'
Document every refund
Issue a clear refund receipt in seconds with Billia's free receipt generator.
Create a receipt — freeFrequently asked questions
How quickly should I process a refund?
Immediately once approved — same day if possible. Refund speed is one of the strongest predictors of whether the customer ever comes back.
Should refunds go to the original payment method?
Yes, whenever possible. It prevents fraud and matches what payment processors and card networks expect.
Do I need paperwork for a refund?
Yes — a receipt or credit note referencing the original payment. 'We just gave the cash back' is how bookkeeping mysteries start.