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How to Issue Refunds and Understand Refund Deductions

Overview

SquadTrip lets organizers issue full or partial refunds directly from the dashboard. When you refund a traveler, the processing fee is also refunded back to your connected Stripe account. Refunds take up to 10 business days to appear on the traveler's statement.

How to Issue a Refund

  1. Log in to your organizer dashboard

  2. Open the trip, go to Travelers and open the traveler

  3. Click Process Refund (shown once the traveler has made a payment; on the desktop traveler page it stays visible even for a cancelled booking)

  4. The Refund Payment page opens on Select Payments to Refund

  5. Choose your refund type:

Refund Type

What It Does

Full Refund

Check every payment in the list -- each is refunded together with its processing fee. SquadTrip treats this as a full refund and cancels the booking in the same step

Partial Refund

Check only the payments you want to refund

Custom Amount

Click Custom Amount and enter any amount up to the Total Refundable

  1. Click Submit Refund (or Refund in the Custom Refund window), enter the verification code sent to your email and phone, and the traveler receives an email with the refund details

Refund Payment page with the Select Payments to Refund table listing the deposit and installments with Paid Amount and With Fee columns, one payment ticked, and the Custom Amount and Submit Refund buttons

How Fees Are Handled in Refunds

When you issue a refund, the 6% processing fee is refunded back to your Stripe account (via Stripe's application fee refund). Here's how it breaks down:

Example: Full refund on a $1,000 trip (traveler paid the fee)

Item

Amount

Traveler originally paid

$1,060 ($1,000 + $60 processing fee)

Traveler receives back

$1,060

Organizer's Stripe account

Processing fee refunded back to you

Example: Partial refund of $500

Item

Amount

Refund to traveler

$530 ($500 + proportional processing fee)

Processing fee portion

Refunded proportionally

BNPL refunds: If the traveler paid with Klarna, Affirm, or Afterpay, the 4% BNPL convenience fee is also included in the refund calculation proportionally.

What the Traveler Sees

After a partial refund the traveler receives a "Trip Refunded" email showing (after a full refund they get the "Trip Canceled" email instead, with the total refunded and the same 10-business-day note):

  • Their total amount originally paid

  • The total amount refunded (including all fees)

  • A note: "Please allow up to 10 business days for you to receive each individual refund"

  • Their transaction history

The refund email shows the combined refund amount including fees, so the traveler may see a number slightly different from the base trip price.

Refund Timeline

  • Processing time: Refunds are submitted to Stripe or Square immediately

  • Traveler receives funds: Up to 10 business days from the refund date

  • Your Stripe dashboard: Shows the refund as processed right away, but the traveler's bank controls when it appears on their statement

Important Notes

  • You can only refund payments that have already been processed -- future scheduled installments are not refundable (a full refund cancels them automatically; otherwise cancel the booking)

  • Refunds cannot exceed the total amount the traveler has paid

  • Refunding every payment (or a Custom Amount equal to the Total Refundable) counts as a full refund: your refund also cancels the booking in the same step, stops future installments and releases the seat, add-ons and room. Only a partial refund leaves the booking in place

  • Stripe's own processing fees (~2.9% + $0.30 per transaction, per stripe.com/pricing as of September 2026) are not returned to you when you issue a refund -- this is Stripe's policy

  • For Square payments, refunds follow the same process but are processed through Square's refund system

  • Tip: The processing-fee refund is added automatically -- there is no option to refund the trip price without it. To offset Stripe's non-returned fee, enter a smaller custom amount

Troubleshooting

Problem

Solution

Refund amount looks higher than expected

The displayed refund includes the processing fee. A $500 trip refund may show as $530 because the 6% fee ($30) is included.

Traveler says they haven't received the refund

Refunds take up to 10 business days. If it's been longer, check your Stripe dashboard for the refund status and provide the traveler with the refund confirmation details.

Cannot find the traveler in the refund section

Process Refund appears once the traveler has made a payment (the desktop traveler page shows it even for cancelled bookings). It is not hidden for logins without edit access -- the Refund Payment page shows "Access Denied" instead of the form.

Want to refund only part of one payment

Click "Custom Amount" and enter the specific amount you want to refund (up to the Total Refundable).

Frequently Asked Questions

Q: Do I get the 6% processing fee back when I issue a refund? A: Yes. When you refund a traveler, SquadTrip's 6% processing fee is refunded back to your connected Stripe account. However, Stripe's own card processing fees (~2.9% + $0.30, per stripe.com/pricing as of September 2026) are not returned -- that's Stripe's standard policy for all refunds.

Q: How long do refunds take to reach the traveler? A: Up to 10 business days after you issue the refund. The exact timing depends on the traveler's bank or card issuer. The refund is submitted to Stripe immediately, but banks process incoming credits on their own schedule.

Q: Does a full refund also cancel the booking? A: Yes. When you refund every payment (or a Custom Amount equal to the Total Refundable), SquadTrip treats it as a full refund and cancels the booking in the same step -- the traveler leaves the guest list, future installments stop and the seat is released. A partial refund does not cancel the booking; cancel it separately if the traveler is no longer attending.

Q: What if a traveler paid with BNPL -- how does the refund work? A: For BNPL payments, the refund goes back through the original payment method. The 4% BNPL convenience fee is included in the refund calculation proportionally. The BNPL provider (Klarna, Affirm, or Afterpay) handles adjusting the traveler's repayment schedule.

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