Forget refunds, now you can choose to credit your customers' account with currency that can only be used at your online store. Their credit history can be tracked in both the admin panel and by your customer from their "My Account" page. When they get to checkout, we'll remind them of their balance and offer them the option to use it right away. Upgrade to the Pro version for this feature.
Store Credit Configuration
Online store credits may be issued at the order level via Credit Memo in the Checkout Suite or at the customer level via the Store Credits tab of the admin panel. Utilize the Credit Memo to configure the amount to be refunded, with all or a portion of the total being refunded to store credit if necessary. At the customer level, you can view and update account history and the current balance while also having the option to remove credit if necessary. In addition, you have the option to automatically email customers when changes are made to store credit in their account.Store Credit User Guide