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When handling exchanges in Swap, the way refunds are processed depends on whether or not you are using Shopify’s native Exchange API.
This article is for users of Returns V2. For the Returns V1 version, click here.
Exchanges without Shopify’s Exchange API
If you are not using Shopify’s native exchanges, Swap creates new exchange orders as separate orders in Shopify.
Refunds on the original order need to be managed manually.
Any additional payments collected through Swap (via Stripe) also need to be refunded manually in Stripe — even if you are using your own Stripe account. Please contact support if using Swap’s Stripe account.
Automatic Refunds
Whit the automatic refunds functionality, refunds are handled automatically in both Shopify and Stripe when a return is processed.
Refunds on Shopify are applied to the original order (which holds the refundable balance).
Refunds on Stripe are applied to the payment_id.
If there is a Stripe payment to refund, it is always prioritised before refunding Shopify.
Why Stripe refunds take priority
This prevents refund limit errors on the original Shopify order. For example:
A customer orders a $30 item and a $70 item.
They return the $70 item and use “Shop Now” with a 10% bonus to buy an $80 item. ($3 additional payment collected via Stripe.)
Later, the customer returns the $80 exchange item for a refund. Its refund value is $73 (after deducting the bonus).
If Swap refunded the full $73 on the original order, the refund total would exceed Shopify’s maximum refundable amount ($103 > $100).
To avoid this, refunds are processed as:
$3 refunded via Stripe (additional payment).
$70 refunded on the original Shopify order.
Refunds on the Original Shopify Order
Refunds are applied at the order level rather than item level:
Items have already been marked as “returned” during the original return flow.
The refund is applied as a general amount to the order.
Refunding Stripe Payments
When a Stripe payment is involved, Swap automatically applies the refund to the relevant payment in Stripe. This functionality works regardless of whether you're using Swap's or your own Stripe account.
Handling Repeated Exchanges
If a customer makes multiple exchanges (e.g. change size: S → M → L), and later returns the final item for a refund, Swap traces the entire exchange chain back to the first original order. That order is the one that will be refunded.
FAQ
Q: What happens if automatic refunds are disabled?
Zero-value items will still appear in the returns portal.
The RMA page will display a note stating that a manual refund is required in Shopify/Stripe.
The process button will be disabled unless an exchange is involved.
Q: Do refunds work if I’m using my own Stripe account?
Yes. Refunds are applied automatically whether you are using Swap’s Stripe account or your own. Learn more about using your own account
Q: How does Swap recognise Swap exchange orders?
To identify whether a Shopify order is a Swap exchange order:
Swap looks at the additional details (customAttributes in the Shopify API).
Swap checks for the Swap Exchange tag.
