This means there is not enough available balance on your merchant account to process the refund.
To make sure you always have enough balance for processing refunds, set up a Reserve: In your Customer Area select your merchant account, go to Finance > Balances overview, and select Control your balances.
You have the following options to add funds to your Reserve:
- Increase the Reserve threshold: The amount needed to fill the Reserve will be deducted from the Payable balance.
- Set up auto-funding: We initiate a direct debit payment when the Reserve balance drops below a configured value. The amount needed to fill the Reserve is debited from the bank account where you receive the payouts for this merchant account. You can only use auto-funding for payout bank accounts in EUR, GBP, or USD.
- Transfer funds into your Adyen account: For payments made in EUR or USD, the funds are added to your Reserve on the same day. For most other currencies, the funds are added to your Reserve on the next day.
For an overview of all refunds that were not processed due to
insufficient balance, select Finance > See all charts and exports > All reports > Modifications not Processed report (data is available from March 31 onwards).
Adyen does not automatically retry refund requests that failed due to insufficient in-process funds. When enough funds are available again, you need to resubmit any failed refund request.