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CC Refunds for Deposits

_Derek__Derek_ Member Posts: 62 ✭✭

We rent high value equipment that leases for $2k-$6k/week. We require security deposits from non-established customers. The problem is we get charged on both ends of the security deposit with WAVE. This amount to huge amounts fees that are not typical with other payment processors where they do not charge fees for a refund, not only that they refund the all or a portion of the original fee.


With WAVE, we are penalized twice and pay more than the average based on our transaction amounts. It's cheaper to use Stripe and hire an account to manage it than to pay WAVE's processing fees. Considering your whole business model is around customers using payment services like this, you might want to reconsider you fee parameters.


Note to others... if your a small business doing standard transactions without refunds WAVE is okay. If your doing refunds, be careful of your costs due to their high fee structure.

in Upgraded Accounting Experience

Comments

  • AlexLAlexL Member Posts: 2,869 ✭✭✭

    Derek , we don't charge fees for refunds and there are no exceptions to this case. The only fees we take are for merchant processing upfront which comes directly out of the payout.

    Feel free to explain further if you'd like and I can clarify how what you're refunding is not being charged.

  • _Derek__Derek_ Member Posts: 62 ✭✭

    Thanks for the feedback. We were charged 2.9% on the refunded amount on our single refund. Other users in the forums have also said they were charged on refunds. Are you sure your policy matches the code written or is this a recent policy change?

  • JulianPJulianP Member Posts: 1,002 ✭✭✭

    Hey Derek !

    I'd like to echo what Alex mentioned earlier. Any processing fees that were deducted from your payouts, wether for credit card, AMEX, or ACH bank payments, are re-added to the initial payout and refunded to your client. At the end of the day, when a refund is issued, your client receives their full funds back and neither you or your client pay any fees.

    If a partial refund is issued, the processing fees will be recalculated accordingly. Feel free to check out your Banking > Payouts page to view your payouts and refunds in detail.

    To learn more about invoice refunds, feel free to check out the Help Center article below:

    edited January 4, 2021
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