How do I refund a payment to a customer?
How to refund a payment from the payments page
To fully refund a payment or invoice:
Navigate to the Payments tab and locate the payment in question.
Select the Refund button from the Action column.
Enter the customer’s refund address.
Enter your seed phrase.
Select Confirm refund.
After you confirm the refund, the refund will be initiated and the transaction status will be updated to Pending refund. When the refund has been broadcast and confirmed by the blockchain network, the refund will be complete and the status will update to Refunded.
How to refund a payment from the payment details page
You can also issue a refund from within the payment details page using the steps below:
Navigate to the Payment tab and select the payment in question.
Select Refund payment.
Enter the customer’s refund address.
Enter your seed phrase.
Select Confirm refund.
After you confirm the refund, the refund will be initiated and the transaction status will be updated to Pending refund. When the refund has been broadcast and confirmed by the blockchain network, the refund will be complete and the status will update to Refunded.
How to issue a partial refund
Coinbase Commerce currently does not allow partial refunds using the refund feature. In the event that the merchant needs to refund an overpaid charge, the merchant would need to go through the withdrawal process to issue the partial refund:
Navigate to the Balances tab.
Select Withdraw from the row of the relevant cryptocurrency that you would like to refund.
In the pop-up that appears, choose Send. You will be asked where you want to transfer the funds.
Choose Withdraw to external address, enter the customer’s refund address and the amount you wish to refund to the customer, and select Continue.
Confirm the withdrawal by entering your seed phrase.
Why am I encountering issues when sending out a refund?
There are a couple of reasons why you may be seeing an error message when trying to refund a payment.
You do not have enough of the asset in your account to refund.
Please make sure that you have enough crypto in your account to complete the refund. You'll need to have enough to cover the amount of the refund and the gas fee for the transaction.
You don't have enough ETH.
When refunding an ERC-20 token such as DAI, USDC, and USDT, you also need ETH in order to cover Ethereum network fees (also referred to as gas fees). If you accept ERC-20 crypto but do not have enough ETH in your Commerce account, you will be unable to send, withdraw, or refund those funds until your account has enough ETH to cover the gas fees.
You can learn more on how to add funds to your account from our help article about withdrawals.
How do I refund a customer?
Open the transaction you’d like to refund and select Refund payment.
Select Confirm refund.
What happens if I send a refund to the wrong destination address?
Coinbase Commerce will not be able to recover funds sent to the wrong address. Please confirm the destination address with your customer before sending funds to the address.
Why doesn’t Coinbase automatically refund to the same address as the original payment?
If your customer paid using an account on an exchange, we can’t guarantee that the funds would be returned to the correct person. Also, people sometimes lose access to their wallets, so it’s best to confirm where they would like the funds deposited. The address must be for the same cryptocurrency in which the original transaction was paid.
