# Record a refund to a client from client credit

> Log a refund you paid a client by check, Zelle, wire or another method, take it from their credit, and email them a receipt.

Source: https://docs.moodiri.com/invoices/record-a-client-refund

## Why use it

A refund paid by check or transfer happens outside Moodiri, so the client's credit still shows the money until you record it. Recording it lowers the credit, gives the refund a number and a receipt, and keeps your financial reports accurate.

## When to use it

- **You mailed a refund check** or sent a transfer for a client's overpayment.
- **You returned leftover credit** at the end of a project.

To refund items on a paid invoice and record the refund in one step, see [Refund items](https://docs.moodiri.com/invoices/refund-invoice-items).

## Before you start

- Only the owner and admins can record refunds.
- Pay the refund first. Moodiri records it but does not send money.
- The client needs available credit on **Financials**. See [Overpayments and client credit](https://docs.moodiri.com/invoices/overpayments-and-client-credit).

## Steps

1. Open **Financials**. Under **Overpayments**, find the client's credit.
2. Choose **Refund to client** on that credit.
3. Enter the **Amount**, up to the credit available.
4. Choose **How was it refunded?** and the **Refund date**.
5. Add a **Reference (optional)**, such as the check number.
6. Add a **Note to client (optional)**, printed on the receipt, and an **Internal note (optional)** for your team.
7. Attach **Proof of refund** and keep **Email the refund receipt** ticked to send it.
8. Choose **Record refund**.

## Refund methods

**How was it refunded?** offers **Check**, **Zelle**, **Venmo**, **PayPal**, **Wire**, **ACH**, **Cash**, **Card (outside Moodiri)** and **Other**.

## What happens next

- Moodiri confirms with **Refund recorded.**, and the credit's available balance drops by the amount.
- If **Email the refund receipt** was ticked, your client gets the receipt by email.
- The refund appears in the credit's refund history and on related invoices under **Refunded to client**. See [Refund receipts](https://docs.moodiri.com/invoices/refund-money-to-a-client#refund-receipts).

## Limits

- Moodiri records the refund; it never moves money. Card refunds made in Stripe are picked up automatically and must not be recorded here.
- The refund date must be today or earlier.
- The amount must be more than $0.00 and no more than the available credit.
- Reference up to 120 characters, note to client up to 1,000, internal note up to 2,000.
- Credit imported from QuickBooks can't be refunded in Moodiri.
- Sending the receipt needs a client email address.

## Troubleshooting

- **Enter an amount no greater than** the available credit: lower the amount.
- **Choose a refund date on or before today.** Pick today or an earlier date.
- **This client has no email address. Add one to send the receipt.** Record the refund now and send the receipt once the client has an email.
- **This client credit cannot be refunded in Moodiri.** The credit came from a QuickBooks import or another source Moodiri can't refund.

## Questions

### What if I paid the refund by card?

If you refunded the card in Stripe, don't record it; Moodiri picks it up automatically. If you refunded a card some other way, choose **Card (outside Moodiri)**.

### I recorded the wrong amount. What now?

Void the refund and record it again. Voiding returns the amount to the client's credit. See [Void a client refund](https://docs.moodiri.com/invoices/void-a-client-refund).