If you want to return money to a guest because you had to cancel the booking or the booking was changed, it depends on your payment settings and policy settings, how the refund will be handled.
Refunds with automatic refund function activated
If the booking was paid by credit card and you have activated the automatic refund function in your payment settings, then the money will be automatically refunded without any further action from your side in case a cancellation policy has triggered a refund in the system.
💡 Note: This setting is currently not available for Lodgify Payments, only for Stripe, Braintree, and Authorize.Net.
💡 Note: The scheduled refunds are triggered every 4 hours, so if a user cancels a booking that should trigger a refund automatically, it could take up to 4 hours to see the refund done.
Make a manual refund
If the automatic refund function has not been enabled or you are using Paypal, Bank Transfer or Cash. Follow these steps to register a refund in Lodgify:
- Go to Menu and select Reservations.
- Select the booking you want to do the refund in.
- Go to the Transactions Box and click the + Icon
|If you used||then...|
|Credit card, to collect the payment but haven't activated the automatic refund||
|Paypal, Bank Transfer or cash to collect the payment
💡 Note: In this case, refunds in the Lodgify Reservation System are currently only to ensure your Transaction Records are up-to-date and reflect your payments received/refunded correctly. You will still need to make the actual payment to your guest via one of the channels mentioned above.
How are fees refunded
When accepting payments through credit cards, certain fees are charged per transaction depending on the activated payment gateway. When issuing a refund to the guest, these fees will be refunded to you in proportion to the amount.
If the transaction fee was 3€ and you return 50% of the prepayments received, you will be refunded 1,50€ of the transaction fee.
See below for more details:
|If payment gateway is...||then...|
If you refund the partial or total value of a booking within Lodgify we will refund the partial/total Stripe Fee + Lodgify Transaction Fee
💡 Note: If you handle the refund directly from your Stripe account, only the Stripe Fee will be refunded, not the Lodgify Transaction Fee.
|Lodgify Payments||If you refund the partial or total value of a booking within Lodgify we will refund the partial/total fee charged for the received transaction.|
|Braintree||If you refund the partial or total value of a booking within Lodgify we will refund the Transaction Fee at the end of the month (or if in the same month, the Transaction Fee won't be invoiced). Braintree will refund the partial/total Braintree Fee charged for the received transaction.|
|Authorize.Net||If you refund the partial or total value of a booking within Lodgify we will refund the Transaction Fee at the end of the month (or if in the same month, the Transaction Fee won't be invoiced). Authorize.Net will refund the partial/total Authorize.Net Fee charged for the received transaction.|