Apaleo Payment: Refund Reserve

"Help! I can't refund a payment"
Manage your refund reserve
Top up your refund reserve

"Help! I can't refund a payment"

When you process a refund in Apaleo, the refund amount is deducted from your available merchant balance. This balance consists of:

• Your in-process funds from payments: the sum of your Pending and Next Payout balances. To see these in Adyen, go to Finance > Balances (Merchant)  
• Your refund reserve: a reserve for your merchant that is used to process refunds in the event that your in-process funds are not sufficient to cover the refund amount.

If you have insufficient in-process funds to process the refund, the refund amount will be deducted from the refund reserve. If you haven't set up a reserve, or if the reserve doesn't have enough funds for the refund, the refund will fail and you will see the error message "Insufficient in-process funds on account" on the folio.

When this happens, you have two options:

1. Wait for future payments to come in, and re-attempt the refund once you have enough in-process funds; or
2. Manage and top up your refund reserve and then re-attempt the refund. 

Note: Refunds that failed due to insufficient funds will not automatically be retried. You need to re-attempt the refund once funds are available. 

Manage your refund reserve

Note: the information below currently does not apply, as the refund reserve cannot be managed self-service in Essentials. Please open a ticket at [e-mail] so that our team can make the changes on your behalf.

You can manage your refund reserve in Adyen.

To set up a refund reserve for your merchant: 

1. Go to Finance > Balances (Merchant)
2. Select the blue button Control your balances in the upper-right corner.
3. Under Threshold > Change, enter a minimum amount that you want to have available in the Reserve. The amount needed to fill the Reserve up to this value will be deducted from your upcoming payable balance.

To change the Reserve threshold for a merchant:

1. Go to Finance > Balances (Merchant)
2. Select the blue button Control your balances in the upper-right corner.
3. Under Threshold, select Change.
4. Enter the new threshold. If you:
   • Increase the threshold, the amount needed to fill the reserve up to the new threshold will be deducted from your payable balance.
   • Lower the threshold, the amount above the new threshold will be added to your payable balance.

Top up your refund reserve

If you cannot wait for your refund reserve to be filled up through future payments, you can top it up via bank transfer. 

! Note that any amount above the reserve threshold will be transferred back to you with your next payout. For example, if you have a reserve threshold of 500 EUR and transfer 1500 EUR, 1000 EUR will be paid back out to you. Before transferring funds to your Reserve, check whether you need to adjust the Reserve threshold.

To transfer funds into your account:

1. Go to Finance > Balances overview.
2. Select Control your balances in the upper-right corner.
3. Under Reserve balance, select Top up.
4. Enter the amount that you want to add to the Reserve.
5. Select Generate payment details.
   This opens a new window with the required payment details for your bank transfer.
6. Make a bank transfer using the required details.
   Make sure that you copy the Reference (message) for each individual bank transfer.
7. Select Done.

For payments made in EUR or USD, the funds are added to your Reserve on the same day. For most other currencies, the funds are added to your reserve on the next day.