IN BRIEF
Learn about the difference between a void (which cancels a payment before it settles) and a refund (which returns funds to the customer after a transaction has settled). iClassPro automatically attempts to void a transaction before issuing a refund, since voids are generally faster and easier for customers.
Overview
When a payment is processed, the card processor confirms that the cardholder’s account is valid and that funds are available. At this point, the amount is deducted from the customer’s available balance, but not yet transferred to your merchant account.
All transactions are batched out for settlement at your predefined settlement time. (This time is usually at the end of the day, but may be earlier if you have opted for next-day funding.)
- If a transaction is unsettled, it can be voided.
- A void cancels the transaction, prevents funds from being transferred, and removes the pending charge from the customer’s account.
- If a transaction is settled, it cannot be voided and must instead be refunded.
- Refunds send the settled funds back to the cardholder.
- A partial refund can only be made to a settled transaction.
Accessing the Feature
The system will automatically use either the void or refund options based on the settlement status of the payment:
- Navigate to the FAMILIES page.
- Locate the family for whom you wish to void/refund a payment and click on the Ledger icon (currency symbol) next to their name.
- Locate the payment you wish to adjust.
- NOTE: If needed, you can filter the Ledger view to show only Payments by using the toggle at the top of the window.
Step-by-Step Instructions
- Navigate to the FAMILIES page.
- Locate the family for whom you wish to void/refund a payment and click on the Ledger icon (currency symbol) next to their name.
- Locate the payment you wish to adjust.
- NOTE: If needed, you can filter the Ledger view to show only Payments by using the toggle at the top of the window.
- Click on the "Refund" icon next to the payment.
- The system will automatically attempt to void the payment if possible. If the payment has already been settled, a refund will be initiated instead.
- Confirm the action.
Additional Notes
- iClassPro automatically attempts a void first, since this removes the pending charge faster for customers.
- There is a 90-day limit for refunding a transaction directly back to the original payment method for credit/debit cards and eChecks.
- Processing times will vary based on whether the payment is being voided or refunded:
- A voided transaction will typically disappear from a customer’s credit/debit account statement within 24 hours.
- However, some card-issuing banks could take 2 to 3 days to remove the pending charge.
- A refund may take 3 to 5 business days to appear on a customer’s credit/debit account statement.
- A voided transaction will typically disappear from a customer’s credit/debit account statement within 24 hours.
- If Technology Fees are enabled on your account, some ledger and editing restrictions are enforced.
- Processing fees vary based on your processor:If you are using iClassPro Payment Services with a third-party processor, there is a per-transaction fee for voids.
- If you are using iClassPro Payments as both gateway AND processor, there is no fee for voids.
Troubleshooting & FAQs
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What happens if I void a refund?
- If you refund a payment and then void the refund transaction, the customer will not receive the funds. However, since the System unapplies the payment from any charges during the refund process, the amount will remain as an unapplied credit on the customer’s account until staff re-applies it.
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How long will a pending charge show on a customer’s account?
- A voided transaction usually disappears within 24 hours from the cardholder’s account statement.
- Note that some issuing banks take 2 to 3 days to release the funds. If a voided payment does not clear from the customer's account within 3 business days, the cardholder should contact their bank to request that the funds be released.
- Refunds may take 3 to 5 business days to post.
- A voided transaction usually disappears within 24 hours from the cardholder’s account statement.
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What if the customer does not see the refund yet?
- If the refunded transaction shows as settled in iClassPro, then it was approved by the bank.
- If the customer still has not received the funds, they must contact their card-issuing bank directly.
- If the refunded transaction shows as settled in iClassPro, then it was approved by the bank.