Step by Step:

Follow the steps below if a customer makes a payment before the sales or service order has been created, changes their mind a couple of days later and now wants a refund. This is called an Unapplied Payment.

Step 1: Go to the customer profile.

Step 2: Select Credit Memos from the profile menu.

Step 3: Look to see if there is an Open Credit Memo in the amount of the requested refund. It will have a memo number similar to this example: CRM0002998

Step 4: If there is a credit memo in the amount of the requested refund simply click on the credit memo to highlight it.

Step 5: Click on the Options button.

Step 6: Select Refund Memo and this will create a refund based on the selected refund payment method and close the credit memo.