Refunding ACH/EFT Returned Payments

If you run payments using Automated Clearing House (ACH) or Electronic Funds Transfer(EFT) from a customer’s bank account, and that payment is returned by their bank due to Non-sufficient Funds (NSF) or other bank processing issues, the refunded payment will not automatically show as returned in your Member Manager invoice for that customer. You should receive a list of returned payments in your merchant processor statement.  

In order for that invoice to show as still outstanding, you will need to refund the payment manually in Member Manager.  The refunded payment needs to show on the invoice, but you want to make sure that you do not process an actual payment refund to the customer’s bank.  Since the payment never went through in the first place and was already returned by the bank, you want to be careful not to issue a second refund.  To refund an ACH/EFT payment, and show the invoice as outstanding, follow these steps:

Step 1:  Find the matching invoice in Member Manager that corresponds the returned payment listed on your merchant processing report. 

Step 2:  Click the Refund icon.


Step 3:  Choose Payment next to “Please select your option:”  Since it is important that the refund only process on the invoice and not back to your customer’s bank, check “Refund Payment Without Sending to Merchant”.  Then click Next.


Step 4:  Choose Offline Credit Card and EFT in the drop down option, and click RefundNote:  The Offline option will never process a payment or a refund through your merchant account.  This option is only for showing a payment or refund on an invoice.


Your payment now shows refunded on the invoice, and the invoice shows a balance due.  The refund has not been sent to your customer’s bank. 



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