The Goal: Understand how transaction and processing fees are handled when a refund is issued through GrowthZone Pay or NAR Ecommerce.
How Refunds Affect Transaction Fees
- GrowthZone Pay: The customer is refunded their full amount. The transaction fees incurred during the initial sale are not reimbursed to your organization.
- NAR Ecommerce: A full refund will cost the association the transaction fee on the original purchase, since the full charge amount is being refunded rather than the amount minus transaction fees.
NOTE: For non-USD transactions, if the exchange rate changes between the time of the transaction and the refund, the refunded amount will match the original transaction amount.
Common Pitfalls
- Transaction fees are non-recoverable: When issuing a refund through GrowthZone Pay, your organization absorbs the original transaction fees. Factor this into refund decisions and communicate it to your finance team.
- Non-USD exchange rate changes: If exchange rates have shifted since the original transaction, the refunded amount reflects the original transaction amount — not the current exchange rate.