Understanding Partial Refunds in LaunchPass
What is a Partial Refund?
A partial refund allows you to return only a portion of a member's payment rather than the full amount. This is useful when you want to:
Prorate refunds for partial month cancellations
Provide goodwill credits for service issues
Adjust charges for pricing errors
Offer compensation while maintaining some revenue
Refund specific fees while keeping subscription charges
Why Use Stripe for Partial Refunds?
LaunchPass integrates with Stripe as your payment processor, and partial refund functionality is available exclusively through the Stripe dashboard rather than the LaunchPass Activity menu. This gives you granular control over the exact refund amount.
Important: LaunchPass provides full refund capabilities in the dashboard, but partial refunds require direct Stripe access for precision amount control.
Step-by-Step: How to Issue a Partial Refund
Prerequisites
Before issuing a partial refund, ensure you have:
An active Stripe account connected to your LaunchPass community
Admin access to your Stripe dashboard
The member's email address
The original transaction amount
The partial amount you want to refund
Step 1: Access Your Stripe Dashboard
Navigate to the Stripe login page at https://dashboard.stripe.com/login and sign in with your Stripe credentials.
Note: This is the same Stripe account you connected when setting up your LaunchPass community to receive member payments.
Step 2: Search for the Member
In your Stripe dashboard:
Use the search bar at the top of the page
Enter the member's email address
Press Enter to display their customer profile
Click on the customer name to view their complete payment history
Tip: You can also search by transaction ID, customer name, or invoice number if you have that information.
Step 3: Locate the Payment Transaction
Once you're viewing the member's profile:
Scroll down to the "Payments" section
Find the specific charge you want to partially refund
Look for the transaction date and amount to confirm it's the correct payment
Click on the payment to view full transaction details
Step 4: Initiate the Partial Refund
With the payment details open:
Look for the "Refund" button in the top right corner or payment actions menu
Click "Refund" to open the refund dialog
Hover over the payment amount field to activate the editing option
A text field will appear allowing you to enter a custom amount
Step 5: Enter the Partial Refund Amount
In the refund amount field:
Delete the pre-filled full amount
Enter the specific partial amount you want to refund
Example: For a $50 charge, enter $25 to refund half
Example: For a $100 charge, enter $15 to refund a service fee
Double-check the amount is correct
Optionally add a reason or note for your internal records
Critical: The partial refund amount must be less than the original charge amount and cannot exceed the remaining refundable balance.
Step 6: Add a Refund Reason (Optional but Recommended)
Stripe allows you to add internal notes:
Select a reason from the dropdown menu (if available)
Requested by customer
Fraudulent
Duplicate
Other
Add custom notes in the text field for future reference
These notes are internal only and not visible to the member
Best Practice: Always document why you're issuing a partial refund for accounting and customer service records.
Step 7: Confirm and Process the Refund
Final steps to complete the partial refund:
Review all refund details one final time
Verify the partial amount is exactly what you intend to refund
Click the "Refund [amount]" button to process
Wait for the confirmation message from Stripe
You'll receive a confirmation email with the refund details
Note: Once processed, partial refunds cannot be reversed. You would need to request a new payment from the member if needed.
After Issuing a Partial Refund
Processing Timeline
The partial refund will follow the same timeline as full refunds:
Standard Processing Time: 5-10 business days from the time you process the refund
Faster Processing (Reversals): If the partial refund is issued very shortly after the original charge (typically within 24-48 hours), it may appear as a charge reversal instead, which processes more quickly.
What This Means for Members:
The partial refund amount will appear as a credit on their card statement
The original charge remains visible but at a reduced amount
They may see both the original charge and a separate credit line item
How Member Access is Affected
Important Consideration: Issuing a partial refund in Stripe does NOT automatically adjust member access in LaunchPass.
After processing a partial refund, you should:
Determine Access Status: Decide whether the member should retain access
If this is a goodwill gesture: No action needed, access continues
If this is for a partial cancellation: You may need to manually adjust their access period
Communicate with the Member: Explain what the partial refund represents
Update Your Records: Note the partial refund in your community management system
Monitor Subscription Status: LaunchPass subscription status won't automatically update based on Stripe partial refunds
Note: For full refunds processed through LaunchPass's Activity menu, member access is automatically removed. Partial refunds require manual access management.
Communicating Partial Refunds to Members
What to Tell Your Member
After processing a partial refund, send your member a clear communication:
Sample Email Template:
Subject: Partial Refund Processed for [Community Name]
Hi [Member Name],
I've processed a partial refund of $[amount] to your original payment method. Here are the details:
Original charge: $[original amount]
Refund amount: $[refund amount]
Remaining charge: $[remaining amount]
Reason: [Brief explanation]
When to expect it: The refund will appear in your account within 5-10 business days. Depending on your bank, you may see it as a separate credit or as a reduction to the original charge.
Your access status: [Explain whether their community access continues, is prorated, or changes]
If you have any questions about this partial refund, please don't hesitate to reach out.
Best regards,
[Your Name]
[Community Name]
Setting Clear Expectations
When communicating partial refunds, always include:
The exact refund amount
The reason for the partial refund
The timeline for seeing the refund
How their access is affected (if at all)
Who to contact with questions
Partial Refund vs. Full Refund: When to Use Each
Choose Partial Refunds When:
A member cancels mid-billing cycle and you want to prorate
You're providing compensation for service disruptions
There was a pricing error for part of the subscription
Offering goodwill credits while maintaining some revenue
Member wants a discount retroactively applied
Specific fees need to be reversed (e.g., setup fees) but not subscription charges
Choose Full Refunds When:
Member requests complete cancellation and money back
Your refund policy guarantees full refunds within a certain timeframe
There was a complete service failure
Member didn't receive any value from the subscription
Fraudulent or duplicate charges occurred
You want to completely remove member access immediately
Related Guide: For complete refund instructions, see How to Process Refunds for Members
Common Partial Refund Scenarios
Scenario 1: Prorated Cancellation
Situation: Member cancels halfway through their monthly subscription
Solution:
Calculate days used vs. total days in billing period
Issue partial refund for unused portion
Example: $30/month subscription, canceled after 15 days = $15 refund
Scenario 2: Service Disruption Credit
Situation: Your Discord server was down for 2 days
Solution:
Calculate value of downtime (e.g., 2 days of a 30-day month)
Issue partial refund as compensation
Example: $60/month subscription × (2/30) = $4 partial refund
Scenario 3: Pricing Error Correction
Situation: Member was accidentally charged $75 instead of $50
Solution:
Issue partial refund for the overcharge amount
Refund exactly $25
Send apology with explanation
Scenario 4: Multiple Tier Adjustment
Situation: Member wants to downgrade from Premium ($100) to Basic ($50) mid-month
Solution:
Issue partial refund of $50 for price difference
Adjust their tier access immediately
Document for next billing cycle
Scenario 5: Trial Extension Compensation
Situation: Technical issues prevented full trial experience
Solution:
Keep the trial payment
Issue partial refund as credit toward first month
Extend access as goodwill gesture
Troubleshooting Partial Refund Issues
Issue: Cannot Edit Refund Amount
Cause: Payment may be too old or already partially refunded
Solutions:
Verify the payment hasn't already been fully refunded
Check if there's a remaining refundable balance
Ensure you have proper permissions in Stripe
Try refreshing your browser
Contact Stripe support if issue persists
Issue: Partial Refund Exceeds Available Amount
Cause: Previous partial refunds already issued or insufficient balance
Solutions:
Check payment history for previous refunds
Calculate total refundable amount: (Original charge) - (Previous refunds)
Issue multiple smaller partial refunds if needed over time
Review Stripe's refund limitations for your account
Issue: Member Reports Not Receiving Partial Refund
Causes: Banking delays, wrong payment method, processing errors
Solutions:
Verify refund shows as "Succeeded" in Stripe dashboard
Confirm it's been at least 5-10 business days
Check that refund went to correct payment method
Ask member to contact their bank
Provide Stripe refund ID for bank investigation
Verify member's card hasn't expired or been replaced
Issue: Member's Access Not Updated After Partial Refund
Cause: LaunchPass doesn't automatically adjust access for partial refunds
Solutions:
Partial refunds don't trigger automatic access changes
Manually manage member access in LaunchPass dashboard
Communicate access status clearly to the member
Consider using full refunds if you want automatic access removal
Issue: Wrong Partial Amount Refunded
Cause: Human error in amount entry
Solutions:
If too much refunded: Request member pay the difference or accept the loss
If too little refunded: Process an additional partial refund for the difference
Cannot reverse partial refunds once processed
Implement double-check procedures for future refunds
Best Practices for Partial Refunds
Before Processing Partial Refunds
1. Establish Clear Policies Document your partial refund policies including:
When partial refunds are offered
How proration is calculated
Maximum partial refund timeframe
Approval process for partial refunds
2. Calculate Accurately
Use consistent formulas for prorating
Double-check math before processing
Consider using spreadsheet calculators
Document calculation method for transparency
3. Get Approval if Needed
Establish who can authorize partial refunds
Set dollar amount thresholds for approvals
Document all partial refund decisions
Create audit trail for accounting
While Processing Partial Refunds
1. Verify All Details
Confirm correct member email
Double-check partial amount
Review original charge details
Ensure sufficient refundable balance
2. Document Everything
Add internal notes in Stripe
Record reason for partial refund
Note any special circumstances
Save confirmation emails
3. Communicate Proactively
Tell member before processing
Explain exactly what they're receiving
Set clear timeline expectations
Provide refund confirmation
After Processing Partial Refunds
1. Follow Up
Confirm member received the refund
Answer any questions promptly
Update member records in your system
Track refund in your accounting
2. Analyze Patterns
Monitor partial refund frequency
Identify common reasons
Look for service improvement opportunities
Adjust policies based on trends
3. Maintain Records
Keep partial refund documentation
Store for tax and accounting purposes
Review quarterly for insights
Use for annual financial reporting
Partial Refunds and Stripe Fees
Understanding Fee Impact
When you issue a partial refund:
Stripe Transaction Fees: Not automatically refunded with partial refunds
Original transaction fee remains charged
Only the payment amount is partially refunded
You absorb the processing cost difference
LaunchPass Transaction Fee: Based on original transaction
LaunchPass charges 3.5% on successful payments
Partial refunds don't adjust LaunchPass fees retroactively
Consider this cost when deciding partial refund amounts
Example Calculation:
Original charge: $100
Stripe fee (2.9% + $0.30): $3.20
LaunchPass fee (3.5%): $3.50
Total fees: $6.70
Your initial receipt: $93.30
Partial refund to member: $50
Your final receipt: $43.30 (not $43.30 + fees)
You absorb the full fee on the refunded portion
Learn More: See How Much Does It Cost? and What's the 3.5% Transaction Fee?
Alternatives to Partial Refunds
Option 1: Account Credits
Instead of refunding money, offer credits:
Apply credit to next month's subscription
Create special member-only perks
Provide extended access period
Offer bonus content or services
Advantages:
No processing fees lost
Maintains member relationship
Keeps revenue in your business
Can provide greater value to member
Option 2: Tier Downgrades
For pricing-related issues:
Switch member to lower tier immediately
Adjust future billing
Keep partial payment for current period
No refund processing needed
Option 3: Extended Access
For service disruptions:
Add extra days/weeks to subscription
Provide makeup access period
No cash refund required
Builds goodwill with members
Option 4: Future Discounts
For pricing disputes:
Apply discount code to next payment
Create custom pricing for member
Grandfather them into promotional rate
Maintains cash flow while satisfying member
Tip: Many members prefer non-cash compensation if the value is equal or greater.
Cryptocurrency Payment Partial Refunds
Important Limitation
Cryptocurrency transactions are irreversible and cannot be refunded through either LaunchPass or Stripe dashboards, including partial refunds.
Alternative Solutions for Crypto Partial Refunds
Option 1: Direct Crypto Return
Contact member for their wallet address
Manually send partial refund amount in cryptocurrency
Document the transaction hash
Confirm member received the funds
Option 2: Fiat Currency Partial Refund
Calculate partial refund in fiat currency equivalent
Request member's payment method for fiat refund
Process through alternative payment method
Document conversion rate and amounts
Option 3: Account Credits
Provide equivalent value in account credits
Apply to future subscription periods
Offer premium features or upgrades
Extend membership duration
Learn More: See How Are Refund Requests Handled?
Partial Refunds and Tax Implications
Consult Your Accountant
Partial refunds have tax implications:
Reduces your gross revenue
May affect quarterly tax payments
Should be tracked separately in accounting
Different treatment than full refunds in some jurisdictions
Record Keeping Requirements
For tax purposes, maintain:
Date of original payment
Date of partial refund
Original amount and refund amount
Reason for partial refund
Member information
Stripe transaction IDs
Recommended Documentation
Export Stripe refund reports monthly
Match refunds to original transactions
Categorize by refund type
Provide to accountant quarterly
Keep for required retention period
Note: Tax treatment varies by location. Consult with a tax professional familiar with your jurisdiction.
Frequently Asked Questions
Can I issue multiple partial refunds for the same payment?
Yes, you can issue multiple partial refunds to the same transaction as long as the total doesn't exceed the original charge amount. Each partial refund will appear separately in Stripe and on the member's statement.
Do partial refunds affect member access immediately?
No, partial refunds processed through Stripe don't automatically change member access in LaunchPass. You must manually manage access if needed based on your refund policy.
Can I issue a partial refund after issuing a full refund?
No, once a full refund is issued, there's no remaining balance to refund. You cannot partially refund and fully refund the same transaction.
What if I accidentally refund the wrong amount?
You cannot reverse a partial refund once processed. If you refunded too little, issue an additional partial refund for the difference. If you refunded too much, you'll need to request the member pay back the difference or absorb the loss.
How long do I have to issue a partial refund?
Stripe generally allows refunds for up to 180 days from the original charge. Check your Stripe dashboard for specific limitations on individual transactions.
Can members request specific partial refund amounts?
Members can request partial refunds, but the final decision and amount are at your discretion based on your refund policy. You're not obligated to honor partial refund requests.
Will my member be notified automatically about the partial refund?
Members receive an email from Stripe confirming the partial refund, but you should also communicate directly to explain the reason and timeline.
Do partial refunds work with recurring subscriptions?
Yes, but partial refunds don't change the subscription billing cycle. The next payment will still process at the full amount unless you cancel or modify the subscription separately.
Related Resources
For Community Owners - Refunds & Payments
How to Process Refunds for Members - Full refund process through LaunchPass dashboard
When Should I See the Refund Back in My Account? - Member refund timing
Stripe + LaunchPass FAQs - Integration questions
Pricing and Billing Collection - All billing articles
For Community Owners - Payment Setup
What is Stripe? - Understanding your payment processor
Step 4: Link Your Own Stripe Account - Initial setup
When Do I Get Paid? - Payout schedules
How Much Does It Cost? - Fee structure
For Members
How Are Refund Requests Handled? - Member perspective
Can LaunchPass Give a Refund? - Who processes refunds
How to Cancel Your Subscription - Cancellation process
External Resources
Stripe: How to Issue Refunds - Official Stripe documentation
Stripe: Customer Refund Processing Time - Timeline details
Stripe Dashboard Login - Access your account
Need Help with Partial Refunds?
LaunchPass Support
If you're experiencing issues processing partial refunds or have questions:
Email: [email protected]
Include in Your Message:
Your community name
Member email address
Original payment amount and date
Desired partial refund amount
Any error messages or issues you're encountering
Stripe Support
For Stripe-specific technical issues:
Visit the Stripe Support Center
Use the live chat in your Stripe dashboard
Check Stripe's refund documentation
LaunchPass Help Center
Browse our complete help documentation at help.launchpass.com for guides on:
Payment processing
Member management
Community setup
Billing and subscriptions
Summary
Partial refunds give you flexible control over member refunds through your Stripe dashboard. While LaunchPass handles full refunds directly in the Activity menu, partial refunds require logging into Stripe, searching for the member, and entering the specific amount to refund. Remember that partial refunds take 5-10 business days to process, don't automatically adjust member access, and the transaction fees from the original payment aren't refunded. Always communicate clearly with members about partial refunds, document your decisions, and maintain consistent policies.
Key Takeaway: Partial refunds are a powerful tool for handling prorated cancellations, service credits, and pricing adjustments while maintaining positive member relationships and preserving some revenue.