Issuing Refunds

Process full and partial refunds for one-time purchases and subscription payments

Where to find this: Payments → Transactions → Click transaction → Refund

When to issue refunds

Common refund scenarios:

Client request:

• Changed their mind
• Can’t attend purchased session
• Dissatisfied with service
• Duplicate charge

Business error:

• Charged wrong amount
• Charged wrong client
• Product misconfigured
• Technical error

Goodwill:

• Service issue compensation
• Retention gesture
• Promotional adjustment

Refund policies vary by coach. Define your refund policy clearly in terms and conditions.

Full vs. partial refunds

Full Refund

Return entire payment amount

Client receives 100% of what they paid.

When to use:

• Complete cancellation before service
• Major service failure
• Accidental duplicate charge
• Client never received product/access

Example: $75 session → Refund $75

Partial Refund

Return portion of payment

Client receives specific dollar amount, less than full charge.

When to use:

• Prorated cancellation mid-period
• Partial service failure
• Processing fee adjustment
• Custom settlement amount

Example: 200 monthly membership, cancel on day 15 → Refund 100 (half month)

Calculate prorated refunds: (Amount / Days in period) × Days unused

How to issue a refund

1. Find the transaction

   Go to Payments → Transactions and locate the transaction to refund.

   Search by client name, amount, or date if needed.

2. Click Open under source column

   Redirects to transcation on Stripe

3. Click Refund button

   Button appears in the top right corner (if transaction eligible for refund).

   

   Refund button only appears for successful, non-refunded transactions. Failed or already-refunded transactions can’t be refunded.

4. Choose refund amount

   Full refund: Leave default amount (entire transaction)

   Partial refund: Enter specific dollar amount to refund

   Amount must be less than or equal to original charge.

   
5. Add reason (optional)

   Note why you’re issuing refund:

   • Client request
   • Service issue
   • Duplicate charge
   • Other

   Internal note only - client doesn’t see this.

6. Confirm refund

   Review details and click Confirm Refund.

   Refund processing. Money returns to client’s original payment method within 5-10 business days.

What happens after refund

Immediate:

• Refund appears in Transactions list with negative amount
• Transaction status updates to “Refunded”
• CoachIQ records refund

Within 24 hours:

• Client receives refund confirmation email
• Stripe processes refund
• Funds deducted from your Stripe balance

Within 5-10 business days:

• Money appears in client’s bank account
• Timeline depends on client’s bank

Refund timeline is controlled by banks, not CoachIQ or Stripe. You can’t speed it up.

Refunding subscription payments

When refunding subscription charges, additional options appear:

Refund only

Issue refund, keep subscription active

Money returned but subscription continues billing.

When to use:

• Service issue compensation
• Billing adjustment
• Goodwill gesture without cancellation

Client retains access, credits don’t expire, future charges continue.

Refund + Cancel

Issue refund and end subscription

Money returned AND subscription canceled.

Options:

• Cancel at period end (access until current period expires)
• Cancel immediately (access ends now)

When to use:

• Client canceling due to dissatisfaction
• Full service cancellation
• Client no longer wants service

Most common choice. Refunding usually means client wants to end relationship.

Refund limitations

Time limits:

• Stripe allows refunds up to 180 days after charge
• After 180 days, contact Stripe support for special handling

Amount limits:

• Can’t refund more than original charge
• Can refund less (partial refund)
• Can issue multiple partial refunds until full amount refunded

Already refunded:

• Can’t refund same transaction twice
• Can’t reverse a refund once processed

Failed payments:

• Can’t refund payments that failed
• No money was collected, so nothing to refund

Refunds are final. You cannot cancel or reverse a refund once confirmed.

Refund fees

Stripe processing fees:

Original charge: You paid 2.9% + $0.30

After refund:

• Transaction fee NOT refunded by Stripe
• You lose the fee even though client got money back

Example:

• Client pays $100
• Stripe takes $3.20 in fees
• You receive $96.80
• You refund $100 to client
• Stripe charges you $100
• Net loss: 103.20 (original 100 + $3.20 fees)

Factor fees into refund policies. Some coaches deduct Stripe fees from refunds to avoid this loss.

Partial refund calculations

Common scenarios:

Prorated monthly cancellation:

• $200/month subscription
• Client cancels on day 15 of 30-day month
• Unused: 15 days
• Refund: $200 × (15/30) =$ 100

Session package partial use:

• 10-session package for $650
• Client used 3 sessions
• Remaining: 7 sessions
• Refund: $650 × (7/10) =$ 455

Processing fee deduction:

• $100 charge
• Stripe fee: $3.20
• Refund after fee: $96.80

Be consistent with refund calculations. Document your policy and apply it uniformly.

Refund policies

Elements of clear refund policy:

Time window:

• How long after purchase can client request refund?
• Example: “30-day money-back guarantee” or “No refunds after 48 hours”

Conditions:

• What qualifies for refund?
• What doesn’t qualify?
• Example: “Unused sessions only” or “Cancel 24 hours before session”

Process:

• How does client request refund?
• How long does approval take?
• Example: “Email requests processed within 2 business days”

Exceptions:

• Emergency situations
• Injury or illness
• Special circumstances

Display policy:

• On checkout page
• In terms and conditions
• In confirmation emails

Clearly communicate refund policy BEFORE purchase. Reduces disputes and chargebacks.

Handling refund requests

Best practices:

1. Listen to client

   Understand why they want refund. Sometimes issue can be resolved without refund.

2. Review your policy

   Does request qualify based on your terms?

3. Offer alternatives

   Before refunding, consider:

   • Rescheduling session
   • Transferring credits to friend/family
   • Service credit for future use
   • Discounted makeup session
4. Process refund promptly

   If refund warranted, process within 24-48 hours. Delays increase frustration.

5. Communicate clearly

   Explain what to expect:

   • Refund amount
   • Processing timeline (5-10 days)
   • Account changes (credits removed, access ended)
6. Follow up

   After refund processes, check in to ensure client satisfied with resolution.

Refunds vs. chargebacks

Refund (you initiate):

• You control timing and amount
• No additional fees
• Maintains client relationship
• Professional resolution

Chargeback (client disputes with bank):

• Bank controls outcome
• $15 chargeback fee even if you win
• Damages relationship
• Affects Stripe account health

Always offer to refund if client unhappy. Prevents chargebacks and maintains goodwill.

Learn about chargebacks →

Common refund scenarios

Client can't attend session they booked

Your options:

1. Reschedule session (no refund needed)
2. Issue credit for future use
3. Issue full refund if within policy window

Recommendation: Reschedule first, refund only if client insists or outside policy.

Client bought wrong product

Process:

1. Issue full refund for incorrect product
2. Client purchases correct product
3. Or manually adjust credits if appropriate

Note: Two separate transactions - refund one, new charge for correct product.

Duplicate charge - client charged twice

Process:

1. Verify duplicate (check transactions)
2. Issue full refund for one charge
3. Keep other charge active
4. Apologize for error

Act fast on duplicate charges. Client may dispute with bank if you delay.

Client wants prorated refund mid-subscription

Process:

1. Calculate unused portion of period
2. Issue partial refund for prorated amount
3. Cancel subscription (at period end or immediately)

Example: 300/month, cancel on day 10 of 30 = refund 200 (20 days unused)

Client unhappy with service

Steps:

1. Understand specific issue
2. Offer to remedy (makeup session, different coach, etc.)
3. If unresolvable, issue refund per policy
4. Document for quality improvement

Service refunds are judgment calls. Balance policy with customer satisfaction.

Tracking refunds

Monitor refund metrics:

Refund rate: (Refunds / Total transactions) × 100

Average refund amount: Total refunded / Number of refunds

Refund reasons: Track most common causes

Refund cost: Total revenue lost to refunds + fees

Use data to:

• Identify problem areas (policies, products, services)
• Improve client satisfaction
• Reduce refund requests
• Adjust policies if needed

Healthy refund rate: Under 5% of total transactions. Higher rates indicate issues needing attention.

Related articles

• Transactions Dashboard
• Managing Subscriptions
• Failed Payments