Do refund receipts send money automatically to the customer when the following are selected? Payment Method: QuickBooks Payments-Bank Refund From: QuickBooks Cash Account

Hello there, @southforkbakingc.

QuickBooks Online is used to record transactions. This helps us keep your data and keep track of the financial health of your business. 

Thus, creating a refund within your QuickBooks Online account will not be directly deducted from your QuickBooks Cash Account. 

What we'll do is create a refund from your QuickBooks Payments account. Here's how:

1. From the Processing Tools drop-down, select Reverse a Transaction.
2. Fill out the necessary fields and select Search.
3. Select the transaction(s) you want to refund, then Submit.

You can check this article for more details: Void or refund transactions in QuickBooks Payments. This includes information about processing a partial refund or crediting a transaction.

Once done, you can create a refund receipt in your QBO account. In the Payment Method, choose the appropriate option.

If you have more questions, please comment below. I'd be around to help you more. Take care and stay safe, southforkbakingc.

Thank you so much for the response - it really helped!

About how long does it take for a transaction reversal to be deducted from your QuickBooks account? Just want to make sure the refund is on the way to my customer even though it isn't showing up on my end of things yet. The transaction reversal shows "pending" so that seems like a good sign.

Thank you so much!

Pending status is already a good sign, Southforkbakingc. Let me add a few details.
 

The refund is already in the process once it shows as pending. Your customer should receive the refund within 7 to 10 business days.

You can also reach out to our customer care support to trace the transaction or for any updates.

Don't hesitate to let us know if you need more of our help. We're one comment away. Keep safe!