---
title: "Credit On File"
canonical: "https://red-ant-documentation.refined.site/space/RET/1447165953/Credit%20On%20File"
format: markdown
---
## Overview

The **Credit on File** functionality enables retailers to store and manage customer credit balances directly within the platform. This credit serves as a flexible payment option for future purchases or as a method to refund customers without requiring external payment methods.

**Examples of when customers might have credit on file include:**

- **Refunds:** A customer returns an item, and instead of issuing the refund to their original payment method, the retailer adds the refund amount to the customer’s credit on file for future use.
- **Store Credits or Loyalty Rewards:** Retailers may issue store credit to customers as part of a loyalty program, promotional offer, or as compensation for service issues.
- **Special Arrangements:** Retailers may provide credit on file to VIP customers as part of bespoke service agreements or pre-paid account arrangements.

**Key Features**

1. **Storing Credit Balances**
  - Credit balances are linked to individual customer records and stored within a dedicated “Credit on File” field located within the “Loyalty” section of the customer profile.
  - The stored credit can be applied toward future purchases

> ℹ️ Credit balances for existing customers can be imported into the system via the following two fields in the Customers.csv template:
> ℹ️ 
> ℹ️ - `creditOnFile_code` (the currency code)
> ℹ️ - `creditOnFile_value` (the credit value)
> ℹ️ 
> ℹ️ This ensures that any previously held credit on file is immediately available for use from the day the system is launched.

2. **Applying Credit**
  - During checkout, sales associates can select **Credit on File** as the [tender type](https://redantdigital.atlassian.net/wiki/spaces/RET/pages/1362395137/POS+Payments#Tender-Types).
  - The available credit balance is displayed when this tender type is chosen, enabling associates to confirm how much credit can be applied.
  - The credit on file is decremented according to the amount used in the transaction, with any remaining balance visible for future use.
3. **Refunding to Credit on File**
  - When processing a refund, sales associates can select **Credit on File** as the [refund method](https://redantdigital.atlassian.net/wiki/spaces/RET/pages/1396375564/Refunds#Adding-Refunds).
  - The refunded amount is added to the customer’s credit balance and stored in their profile for future use.
4. **Recording Transactions**
  - All credit-related transactions are recorded, with details included in the order history and receipts.

**Notes on Usage**

- Credit balances are specific to each customer and cannot be transferred between profiles.
- Sales associates should confirm the correct customer profile is selected when applying or adding credit to avoid errors.

> ⚠️ Once a **Credit on File **payment / refund has been added it cannot be removed. This is because the credit amount is immediately updated:
> ⚠️ 
> ⚠️ - For sales, the credit on file is **decremented** as soon as it is applied to the transaction.
> ⚠️ - For refunds, the credit on file is **incremented** when the refund amount is allocated to this method.