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How to process a refund
How to process a refund

Steps to handle a refund for a customer's order

Kelsey avatar
Written by Kelsey
Updated over a year ago

If you offer refunds for your shop, they can be submitted directly within your Orders section in Paloma.

Note that when a refund is processed, Stripe's fees for the original payment won't be returned to your balance, but there are no additional fees for the refund.

To view a list of all your refunds and their statuses, visit the Refunded payments list in your Stripe Dashboard.

How to apply a refund to an order in Paloma

  1. Go to Orders and find the order that you need to refund

  2. Select the menu on the order, and choose Refund

  3. Complete the form, including Refund Amount and Refund Reason

Once you've submitted a refund, it can take 5-10 days to appear on a customer's statement.

Read more below about how they're handled by Stripe, and what can cause refunds to be left in a pending state.

How Stripe handles refunds

When a refund is submitted, Stripe will use your Available balance to refund the customer. If your available balance doesn’t cover the amount of the refund, it may go into a negative balance, and the refund may be held in a pending state. To avoid this, you can enable auto-debits in Stripe, allowing Stripe to debit refund amounts directly from your bank account.


Any trouble? Questions? We're here to help!

Use the Help button in the bottom right corner of app.getpaloma.com to start a chat, or email us at support@getpaloma.com.

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