Shopify Payments refunds
If you're using Shopify Payments and you issue a refund, then the amount is deducted from your next available payout. In most cases, the refund is labeled as Pending for up to 2 business days, and it can take up to 10 business days for your customer to receive the refunded amount.
You can find the Acquirer Reference Number (ARN) in the order timeline under the refund details. ARNs are available for all refunds through Shopify Payments that are sent to a Visa or Mastercard.
ARNs can be used by banks and credit card providers to trace a transaction. If a customer claims they haven't received their refund, then provide the customer with the ARN and advise them to reach out to their credit card provider to investigate.
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 your store is based:
In the United States, Canada, Australia, New Zealand, United Kingdom, Austria, Belgium, Denmark, Czechia, Finland, Germany, Ireland, Italy, Netherlands, Portugal, Spain, Sweden, and Switzerland, the balance is debited from your bank account. The debit will occur on a day that falls outside your regular payout schedule.
If the debit fails, then it will be attempted again in 3 business days. If that reattempt fails, then you need to change your Shopify Payments bank account, or repay the negative balance manually.
In all other countries, the remainder of the refund is deducted from the next payout until the refunded amount is covered.
If your Shopify Payments account displays a negative balance, and the refund status in the order timeline has been Pending for more than 2 business days, then the outcome depends on where your store is based:
- In France, Romania, Singapore, Hong Kong SAR, or Japan, your negative balance will be cleared by future sales.
- If you're in Europe and use a non-Euro bank account, then your negative balance will be cleared by future sales.
- In all other countries and currencies, your bank account will be debited for the negative balance.
Depending on the balance, and how long it's been pending, the Shopify Recovery team might get in touch directly with the store owner to address the negative balance, and to keep your Shopify Payments account in good standing.
If you have questions about your negative balance, then contact Shopify Support.