Which refund types are available, and how are they used?

Refund/Credit Memo In Magento 2

In Magento 2, There are mainly 3 refund types are available Offline, Online & Account/Store Credit.

In Magento 2, Refund is referred as Credit Memo, which people can use to request a refund.

Today we will see available methods & how we can use credit memo to refund amount to the customer.

What is a credit memo?

credit memo is a document that shows the amount that is due the customer for a full or partial refund.

When a customer requests a full or partial refund, you need to generate a credit memo. 

Refund Methods

Based on the payment method,

Any applicable refund method can be used from the below three methods.

Online refundβ€”

You can generate online credit memo for the orders which are paid by credit card through a payment gateway, such as PayPal or Braintree, are refunded online via the payment processor.

Offline refundβ€”

Orders that are paid by Cash on Delivery (COD) or by check or money order are refunded offline.

You can also generate offline refund by generating credit memo from the sales order details instead of creating from invoice view page in the backend.

Account creditβ€”

A credit account can be used to pay for orders, and those orders can be refunded as account credit.

Source : https://experienceleague.adobe.com/en/docs/commerce-admin/stores-sales/order-management/credit-memos/credit-memos

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Happy Reading & Best of luck for the exam πŸ‘

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