How to create Credit Memo or Partial Refund in Magento 2

A lucid, highlighted refund policy makes the online store more securable and trustworthy through the eye of customers. Magento 2 comes with the Credit Memo function which assists store owners to quickly partial refund the shoppers’ money. A credit memo is a document which shows the amount of money that is owed to the customer. The amount can be used for another purchase or partially refunded to the customers.

There are 5 steps to create Credit Memo for Partial Refund in Magento 2, which will be discussed in this tutorial. Also, scroll down to see how to add comments on your Credit Memo as well.

Recommend:

• Explore Mageplaza’s Store Credit module features
• Magento 2 Return Merchandise Authorization module

Table of Contents

• Payments via credit card
  • Step 1: Access The Order Grid
  • Step 2: Select The Order To Create The Credit Memo
  • Step 3: Click To The Credit Memo Button
  • Step 4: Edit The Items To Refund Section
  • Step 5: Edit The Refund Totals Section
  • How To Add A Comment To The Completed Credit Memo
• Payments via check or money
  • Step 1: Submit Invoice
  • Step 2: Set the quantity of items to be refunded
  • Step 3: Set the refund totals
  • Step 4: Generate a credit memo
• How to Print Credit Memo in Magento 2
• Conclusions

Payments via credit card

Step 1: Access The Order Grid

From the admin panel, click to Sales, then choose Orders to view all of your current orders.

Step 2: Select The Order To Create The Credit Memo

In the Order Management grid, find an order which you want to create a credit memo for.

Click directly on that order or click to the View button in the Action column to see all details of the order.

Step 3: Click To The Credit Memo Button

Tap to the Credit Memo button in the upper right corner of the screen.

Note: The button will only appear if an invoice is created for that order.

Step 4: Edit The Items To Refund Section

Now, you will see the New Memo page with the Items to Refund section that lists each item from the invoice.

Please take the following actions:

• If the product is to be returned to inventory, mark the Return to Stock checkbox.
• If the product is not returned to inventory, leave the box blank.

Note: The Return to Stock checkbox is available only if the inventory Stock Options is set to Decrease Stock When Order Is Placed.

Then, complete the following tasks

1. In the Qty to Refund box, enter the number of items to be returned and press the Enter key to record the change. The Update Qty’s button will appear.
2. If any items will not be refunded, enter 0 into the Qty to Refund box.
3. Click to the Update Qty’s button to automatically recalculate the total.

Note: The amount to be credited cannot exceed the maximum amount that is available for refund.

Step 5: Edit The Refund Totals Section

1. In the Refund Shipping field, enter an amount to be refunded from the shipping fee. This field initially shows the total shipping amount from the order that is available for refund. It equals the initial shipping amount minus any shipping amount that has already been refunded. The amount can be decreased, but not increased, like the quantity.
2. In the Adjustment Refund field, enter an amount that will be added to the total; amount refunded as an additional refund beyond shipping, product price, and tax cost. The amount entered can not increase the total refund greater than the paid amount.
3. In the Adjustment Fee field, enter a value to be deducted from the total amount refunded. The amount is not deducted from a particular part of the items such as shipping, product price, or tax.
4. If the purchase was made by using store credit, mark the Refund to Store Credit checkbox. The amount will be credited to the customer’s account balance.
5. In case you want to send an Email notification to the customer, tick the Email Copy of Credit Memo checkbox.
6. In the Credit Memo Comments box, enter any comments you want. To include that comment in the email, check the Append Comments checkbox.

The status of a credit memo notification comes up in the completed credit memo beside the credit memo number.

1. Based on the payment type, click to the Refund Offline button or Refund Online button to complete the process and create the credit memo.

How To Add A Comment To The Completed Credit Memo

Step 1: In the View Memo page, you need to scroll down to the Comment History section and type the comment in the box. Below the Comment History section is the history of all activities related to the order.

• Mark the Notify Customer by Email check box to send the comment to the customer by email.
• Mark the Visible on Frontend checkbox to post the comment in the customer’s account.

Step 2: Click To The Submit Comment button.

Note: In case you want to check any credit memos related to the order, please click to Credit Memos in the left panel.

Payments via check or money

Step 1: Submit Invoice

• Navigate to Sales > Orders, locate and click View on the desired order in the grid.

• Click Invoice at the top, scroll down, and select Submit Invoice.

Step 2: Set the quantity of items to be refunded

• Proceed by clicking Credit Memo at the top.

• In the Items to Refund section, specify the quantity of items for refund.

• Choose the Return to Stock option if the product will be restocked for future sales.

• Click Update Qty’s when ready.

Step 3: Set the refund totals

• In the Refund Totals section, indicate the shipping fee to be refunded in the Refund Shipping field.

• Enter any extra fees for refund in the Adjustment Refund field.

• Define the amount to be deducted from the refund total in the Adjustment Fee field.

Step 4: Generate a credit memo

• Optionally, add a comment in the Credit Memo Comments box.

• Click Refund Offline/Refund to generate a credit memo in the Magento 2 admin panel.

How to Print Credit Memo in Magento 2

Install a PDF reader on your computer, such as Adobe Reader.

Follow these steps:

• Navigate to Admin > Sales > Credit Memos.

• Under Operation, select Credit Memos.

• Choose the order you want to print memos and then in the dropdown action, select Print Credit Memos.

Conclusions

It is worthy to note that customer service does not end when the customers make their purchases. At the end of the day, the customers are likely to come back as a returning customer. Hence, e-commerce businesses need to focus on building up great order management policy to ensure the customers feel satisfied during their shopping journeys.

Above are the detailed instructions of how to create a credit memo or partial refund in Magento 2, as well as the guide to add comments to a completed credit memo. You can also refund reward points by clicking at the below button. If you have any questions, don’t hesitate to contact us. And if you are looking for a partner to help you accelerate your online business, Mageplaza is here to help you!

Explore Mageplaza Refundable Reward Point now