Refunding and canceling orders

Depending on your return policy, you might need to refund or cancel orders. By refunding orders in a prompt and professional way, you show your commitment to customer service and might encourage the customer to order again in the future.

You can refund an entire order or part of an order. In some circumstances, you can cancel an order and issue a refund.

If you are using Shopify Payments and you issue a refund, then the amount is deducted from your next available payout.

If you're using Shopify payments and your payout doesn't have enough funds for a return, then there are different outcomes depending on where you are located. For stores located in:

  • Austria, Denmark, Germany, Hong Kong, Ireland, Italy, Netherlands, Singapore, Spain, Sweden, New Zealand, and the United Kingdom, the remainder of the refund is deducted from the next payout until the refunded amount is covered.

  • United States, Canada, and Australia, the balance is debited from your bank account on the day of the payout.

A refund takes up to 10 business days to be credited back to your customer.

If a negative balance payout fails, then the payout is tried again in 3 business days. For more information about issuing refunds with Shopify Payments, refer to the Shopify Payments FAQ.

Refund an entire order

Refunding an order results in the payment being sent back to the customer. When you refund an order, you have the option to restock the items and to send a notification email to the customer.

Items in an order are sorted by their fulfillment status.

If you refund an order to store credit by using Shopify POS, then you can refund the amount to the original payment method later on. For more information about Shopify POS, refer to Point of sale.

If your Shopify Payments account displays a negative balance, then you might not be able to issue a refund. Refunds are listed as Pending until you have made enough sales to have a positive balance in your Shopify Payments account, and then you can successfully issue a refund.

Steps:

Refund part of an order

You can issue a partial refund for specific items in an order. You can then issue additional partial refunds until you've reached the total available to refund, which is the original amount of the order.

If you refund an order to store credit by using Shopify POS, then you can refund the amount to the original payment method later on. For more information about Shopify POS, refer to Point of sale.

Steps:

Cancel an order

If an order is fraudulent, a customer requests a cancelation, or an item was ordered and isn't available, then you might need to cancel an order.

You can only cancel orders in the following situations:

  • You haven't collected a payment for the order.
  • You've collected a payment for the order, but no items have been fulfilled.

If you cancel an order that's fulfilled, then you need to cancel any fulfillments manually. Canceling a fulfillment in Shopify doesn't stop a fulfillment that's in progress.

If you've collected payment for the order, then a full refund is issued when the order is canceled. You can't issue a partial refund with an order cancelation.

To cancel transaction fees for any reason, you need to refund the related order from your Shopify admin. If a bill hasn't been issued when an order is refunded, then you won't be charged transaction fees. If transaction fees have already been billed, then the amount charged is credited to your account. If you cancel an order without refunding payment, then you won't receive credit for the transaction fee.

After you cancel an order, the details about what items are restocked and refunded is stored in the order's Timeline.

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click the order that you want to cancel.

  3. Click More actions > Cancel order.

  4. If payment was captured, then then details about the refund are displayed.

  5. If you don't want the refunded items to be restocked in your inventory, then uncheck Restock items.

  6. Select the reason for cancelation from the drop-down menu.

  7. If you don't want to notify your customer of the cancelation, then uncheck Send a notification to the customer.

  8. Click Cancel order.

Delete an order

Deleted orders are removed from your Shopify admin and are no longer tracked in reports. Only the following types of order can be deleted:

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click an archived or canceled order.

  3. Click Delete this order at the bottom of the page.

Review an order's transaction history

You can view the transaction history, which includes refunds, in the Timeline section of an order's overview page.

The Timeline shows when a refund is paid to a customer.

Steps:

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