Partial refunds in Magento

Question

How do I get a partial refund (credit memo) working in Magento? I have a customer who bought 3 items but only wants to get a refund on one of the items. Is there a way to do that?

Also, can I move that item back to the inventory (like updating the stock automatically)?

Answer 1

Some payment types support partial refunds. Most credit cards do not, as the gateways don't support a partial refund on the authorization. Can you please elaborate on your payment setup, including how you reconcile those payments?

Short answer to your second question is yes.