Knowledgebase: Magento Admin Support
Automatically refunding payment on a credit memo
Posted by Gary Hamilton on Feb 18 2014 10:32

To create a credit memo and have it automatically issue the refund amount back via Paypal or

1. You must be connected to an integrated payment gateway ( or Paypal)
2. Select the Invoice that you would like to create the credit memo from (make sure you are selecting an invoice and not an order)
3. Click the "Credit Memo" button in the upper right corner to create the credit memo.
3. Once you have the credit memo created, you can modify the refund amount as needed on the bottom right corner of the invoice.
4. Select "Refund" on the bottom right of the invoice (make sure you select Refund, and not Refund Offline)

This should issue the refund directly, rather than doing so offline.

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