Refunds to the original payment method

Summary

This page explains how the ReBound-Shopify integration issues refunds back to the customer’s original payment method, ensuring a seamless and automated experience for both merchants and customers.

How it works

• When a return meets your configured refund milestone, the ReBound integration triggers a refund in Shopify. Learn more about refund milestones.
• The returned (expected/received) items are marked as "returned" and the refund is issued automatically to the customer’s original payment method (e.g., credit card, PayPal) used at checkout. This is done through Shopify's returnProcess mutation.
• Only items registered by the customer for return (“expected items”) are eligible for automatic refund.
• If the refund cannot be processed automatically (e.g., due to unsupported payment methods, multiple transactions, or technical issues), you will receive an email notification to manually process the refund in Shopify. Learn more about manual processing.

Note: Refunds to the original payment method do not include any store credit bonuses. Store credit bonuses are only applied when the customer chooses a store credit refund.

Setting it up

Refunds must first be enabled in ReBound by your Implementation Manager before they can be configured in the Shopify integration app. Please make sure refunds are enabled for your account first

If refunds are enabled for your account, they will automatically be issued in your Shopify store based on the designated return milestone event.

Required: Please make sure that a valid monitored email address is configured for refund notifications. Learn more about email notifications andmanual processing.

Frequently Asked Questions

Q: Which payment methods are supported for automatic refunds?
A: Most standard payment methods supported by Shopify (e.g., credit card, PayPal) are supported. Our integration cannot currently issue refunds for cash or gift card payments.

Q: What happens if a refund cannot be processed automatically?
A: You will receive an email notification at the address configured in the app. You must then process the refund manually in Shopify. Learn more about email notifications andmanual processing.

Q: Are shipping fees or duties refunded automatically?
A: By default, only the product value is refunded. Shipping fees and duties are not refunded.

Q: Are taxes refunded automatically?
A: Depending on the customer's address and legal requirements for your business in the region, taxes may be applied differently to the products.
For example, in most EU countries, VAT is collected as part of the product price (e.g., a €50 item already includes the 21% VAT), while in most US states, sales tax is added on top (e.g., a $10 tax on a $50 item, resulting in a total payment of $60 for that item).
Our integration automatically refunds taxes associated with the individual line item. If they were included in the item's price (e.g., EU VAT), only the item's price is refunded. If they were not included (e.g., US sales tax), the tax amount is refunded in addition to the item's price.

Q: Can I apply a bonus to refunds to the original payment method?
A: No, bonuses are only applied to store credit refunds, not to refunds to the original payment method. This is to incentivize customers to choose a store credit refund over one to the original payment method.

Q: Can I change the refund milestone or configuration after setup?
A: Yes, contact your ReBound Implementation Manager to request changes to your refund milestone.