Refunding Client Payments
Learn about refunding direct debit payments from within Ignition.
Nick Dainty avatar
Written by Nick Dainty
Updated over a week ago

Ignition does not have a refund function, but we may be able to process a refund to your client as a request on your behalf as a value-added function for our customers at Ignition's discretion.

Every refund request is reviewed (risk assessment) by our team as this is a high-risk function for both Ignition and your business. Your clients can still dispute (chargeback) payments even after they are refunded through Ignition. To limit this risk to your business and ours, not all refund requests can be approved. Ignition also reserves the right to refuse to process a refund of any value based on a risk assessment of your business and history.

Requesting a refund for a payment made by your client through Ignition

We are unable to refund payments on these conditions:

  • Partial amount in the invoice

  • Collected Invoices that are more than 60-90 days old (depending on the financial institution)

  • No sufficient balance to allow the funds to be reversed (deducted) from your account, before refunding to your client's account.

  • Amount more than 1,500 (**this can be requested for a Risk Assessment Review/Approval)

While we highly recommend that refunds should be processed within Ignition, unfortunately, the above will then be required to be returned to them outside of Ignition by disputing the charges to their bank instead.

How to request a refund

Contact our support team to request a refund and submit the following information in your request:

  • The client's name

  • The date of the invoice

  • The invoice amount

  • Reason for the refund request (e.g. service was not ended, incorrectly billed, etc.)

  • The link of the proposal in-app

Please send this information via the chat function or email the Support Team at

Risk Assessment for more than 1,500 and other high-risk refund requests:

⚠️ Risk Assessment Team will require a screenshot of the email or conversation by the client requesting the refund. This is being asked because, under direct debit (bank to bank agreements), clients can still dispute the payments in their bank even after they were refunded by Ignition; refunding the client twice.

Our support team will then submit this information and confirm within 24-48 hours whether or not we are able to proceed with the refund process.

Timeline for processing the refund

⚠️ Please be sure to inform your client of the expected timeframe, to avoid them lodging a dispute while Ignition is ongoing with the refund process.


Once a refund is approved to proceed, Ignition will:

  1. Reverse the amount (clawback the disbursed payment) from your disbursal account

    • If the payment has been successfully collected from your client, but not yet paid out (disbursed) to you, the system will proceed in refunding the client.

  2. The system will refund the amount to your client's payment method in the invoice.

When the invoice is already collected, the whole refund process will take about 7-14 banking days.


Please note that when we are processing refunds, the system may offset this with any incoming or in-transit disbursals.

For example, if you submitted a refund request for $500 but you have an incoming disbursal of $200, the system will remove your disbursal and then deduct the difference ($300) from your account.

Possible Refund errors

If we are unable to reverse funds from your account, we will be unable to complete a refund, and we will notify you of possible issues such as:

  • No sufficient balance to allow for the funds to be reversed (deducted) to your account first before refunding to your client's account. 

  • Collected Invoices that are more than 60-90 days old (depending on the financial institution)

Partial Refunds

At the current moment, we are unable to process "partial" refunds - refunds of only part of an amount paid by your client.

If a refund is processed by us we will refund the total amount paid by that client in that transaction. If you require a partial refund please perform this external to Ignition by bank transfer to your client.

Charges for Refunds

We do not charge any additional fees to process a refund. The customer will receive the full amount of the payment back into their bank account.

Ignition Payment Fees (Transaction fees/Merchant Fees)

We do not and cannot refund the original transaction fee for the successful collection from the customer.

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