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Refund deposits and overpayments to customers

The Refund process screen: settling rent and deposit, checking bank details, generating a bank transfer file, downloading it again from Batches, the single-booking Settle button, and why the refund is recorded before the bank pays

11 min read

What this page covers

  • The to-be-refunded list
  • Build a refund batch
  • Download the bank file
  • Settle an overpayment

Introduction

From the main menu open Financials, then click the Refund process tile. The screen is headed Batch generation and has three tabs, worked left to right: 1. Settlement, 2. Validate and Generate and 3. Batches. The first two are lists of bookings with a button above each; the third lists the bank files you made before.

First you settle each booking: the app uses the deposit to pay any rent still owed, or moves rent paid above the invoice across to the deposit side. What is left is deposit money that belongs to the customer. You then generate a batch: one bank file that pays all those customers back. You upload it to your online banking and the bank makes the transfers.

You will use this when:

  • vehicles came back undamaged, the invoices are done, and the deposits need to go back
  • a customer paid more rent than the final invoice
  • a customer paid a deposit and then cancelled for free
  • you look through the list once a week to see which refunds are still waiting

Words used on this screen

The screen saysIt means
Settlement, SettleUsing the deposit to pay the rent still owed, or moving rent paid above the invoice across to the deposit side
BatchOne bank file with several refund transfers in it
Iban, BICThe customer's bank account number and their bank's code
To be refundedWhat the customer has paid in total, minus the booking price

Every way to do this task

RouteWhat you get
Financials menu, Refund process tileSettle many bookings at once, then make one bank file for all refunds. Covered here
Payments on a booking, then Settle on the Booking payments screenSettles one booking. It does not pay anything back
Financials menu, Batch lookup tileThe bank files you made before, and the bookings in each one

Use this page when the invoice is final and you refund by bank transfer. To lower an invoice, use a credit note; to release a card hold, see deposits and pre-authorisation.

How to use

Configuration

The bank file needs your own bank details and one company-wide setting. A company administrator sets these up once.

  1. Choose how batches are split. From the main menu open Admin, then Settings, then click the Financial tile. The screen is headed Financial settings. Find Batch creation type. It has two choices:

    ChoiceWhat you get
    PerLocation (the starting value)One bank file for each pickup location that has a booking in your selection
    PerBranchOne bank file for each branch

    Press Save. The setting applies to the next batch you generate. Files you made earlier do not change. On the same screen, use subledging decides whether settlements reach your accounting package: set to no, one half of each settlement is sent; set to yes (the starting value), neither is. See accounting sync.

  2. Enter the account the refunds are paid from. From the main menu open Admin, then Product design, then click the Branches tile. Open each branch and fill in Iban and BIC. Fill in the full address too: Street, House number, Postal code, City and Country, and the branch Name. The app does not make a file for a branch or location whose name or address is incomplete. Press Save.

Before you start: the Refund process and Batch lookup screens, and both set-up screens above, need a company administrator account. The Settle button on a single booking works with any staff account. Every customer you refund needs a valid bank account number and a complete address on their customer form. See set a customer's payment and invoicing terms for where the bank details go.

Using the refund process

  1. From the main menu open Financials, then click the Refund process tile. The 1. Settlement tab opens.

  2. Narrow the list with the filter box under a column heading, such as BranchName or InvoiceName. The list shows bookings where the customer has paid enough in total, but the money is not yet split correctly between rent and deposit.

  3. Tick the bookings to settle. Check that To be refunded is what you expect to pay back.

  4. Click Settle selected. There is no message; settled bookings leave this tab at once.

  5. Open the 2. Validate and Generate tab: bookings with the rent fully paid and deposit money left over. In the Iban and BIC columns, a green tick means the value is filled in (for Iban, also valid); a cross means missing or wrong.

  6. For a row with a cross, click it to open the booking, open the customer and fix the bank details or address. Then reopen the tab.

  7. Tick the bookings to refund, and click Generate batch from selected.

  8. Your browser downloads a file named BATCH_REFUND_ plus a number, ending in .xml: one per location or per branch. You may see two messages:

    MessageWhat it means
    Please check the branch setup of branch. Missing data. Batch process continues for other branches.That branch's name or address is incomplete; its bookings were skipped
    We identified n customers with data issues.Those customers lack a valid bank account number or a full address; they were skipped and stay on the tab
  9. Upload the file to your online banking and approve it. The app sends nothing to the bank.

  10. To download a file again, open 3. Batches (newest first, with Created by, NumberOfTransactions and BatchValue) and click the download icon at the right-hand end of the row.

To settle one booking: open it, click Payments, then Settle on the Booking payments screen. The app says Settled! (or Total paid is less than total invoiced.). You still refund the money through steps 5 to 9.

To see which bookings were in a batch: open Financials, click Batch lookup, then the eye icon on the batch. Click a booking to open it.

Key details

What settling records. Two payments with the reference Settlement, dated now: one takes an amount off one side, the other adds it to the other side, so the total paid stays the same. Both show on the booking's Booking payments screen.

SituationWhat settling does
Rent paid is less than the invoiced amountMoves deposit money across to rent, up to the invoiced amount
Rent paid is more than the invoiced amountMoves the extra across to the deposit side, so it can be refunded

What generating a batch records. For every booking in the file the app records a refund at once: a payment for minus the full Total deposit paid, method Batch. The deposit paid goes to zero and the booking leaves 2. Validate and Generate. This happens when the file is made, not when the bank pays. Each transfer carries the booking number as its description.

A worked example. A van costs €484.00 including value-added tax (VAT). The customer paid €300.00 rent and a €250.00 deposit, €550.00 in total. You invoice €484.00.

StepRent paidDeposit paidWhere it shows
Before300.00250.001. Settlement, To be refunded 66.00 (550 − 484)
After Settle selected484.0066.002. Validate and Generate, To be refunded 66.00
After Generate batch from selected484.000.00In the batch file as a €66.00 transfer to the customer

Had they paid €500.00 rent and no deposit, settling moves €16.00 to the deposit side and €16.00 goes in the next batch.

Which bookings reach the first tab. A booking appears on 1. Settlement only when all of these are true:

ConditionWhat to check on the booking
It is returned and invoiced, or cancelledThe booking status, and Total invoiced
The invoiced amount matches the booking price to within 5 centsTotal invoiced against Total price incl vat
Rent paid is more than 1 cent away from the invoiced amountTotal rent paid
The customer has paid at least the invoiced amount in totalTotal rent paid plus Total deposit paid

A booking priced at €484.00 and invoiced at €484.05 still appears; invoiced at €484.06 it drops off both tabs until the two match again.

Which bookings reach the second tab. Rent paid equals the invoiced amount (to within 1 cent), something was invoiced, and at least €0.01 deposit is left. A cancelled booking with a price of zero and no rent paid also appears if the customer paid a deposit.

The file pays the deposit balance, not the To be refunded figure. To be refunded compares what was paid with the booking price; the file pays the whole Total deposit paid. After settling they match to within the 5-cent margin. If they differ by more, leave the booking out and open it to find out why.

What to do next: upload the file to your bank the same day. Then fix the bank details of any customers left on 2. Validate and Generate and generate again.

Q&A

The bank rejected a transfer, but the booking says the deposit has been refunded. What now? The app records the refund when it makes the file, not when the bank pays. Open the booking, click Payments, and delete the payment with method Batch on the Booking payments screen. The deposit comes back on the booking and the booking reappears on 2. Validate and Generate. See sort out a payment that is missing, wrong or not in the accounts.

The downloaded bank file is lost. Can I generate the batch again? No. The bookings in it already have their deposit set to zero, so they are no longer on 2. Validate and Generate. Download the same file again from the 3. Batches tab.

A customer is still on the Validate and Generate tab after I generated a batch. Why? They were left out because their bank account number is missing or invalid, or their address is missing a street, house number, postal code, city or country. Fix the customer form, then generate again for that booking. A blank BIC does not stop the transfer being added to the file, but some banks reject it. Fill it in whenever the tab shows a cross.

Why did clicking Generate batch from selected do nothing at all? Either no bookings were ticked, or Batch creation type on Financial settings is empty. Ask a company administrator to set it to PerLocation or PerBranch.

Why did no file download for one location, while others did? That location's branch has an incomplete name or address, and the message Please check the branch setup of named it. A company administrator fixes it under Admin > Product design > Branches. The branch's Iban and BIC are not checked, so check them yourself: they are the account the money is paid from.

Why does Settle on the booking say Total paid is less than total invoiced when the list shows money to refund? The single Settle button only works when something was invoiced and the customer paid more than the invoiced amount. A cancelled booking with nothing invoiced always gets this message. Use Settle selected on the 1. Settlement tab instead, which handles those bookings.

Why is a returned booking with a deposit missing from both tabs? Check three things. Has it been invoiced? Does the invoiced amount match the booking price to within 5 cents? Has the customer paid at least the invoiced amount? A customer who still owes money is never refunded. Take their payment first, see check what a customer owes and take a payment. If the invoice is wrong, correct it with a credit note.

Why can't I open the Refund process tile? The screen needs a company administrator account. Ask your administrator.

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