> ## Documentation Index
> Fetch the complete documentation index at: https://docs.getmeasure.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Credit Notes

Credit notes, also known as credit memos, are documents issued by a seller to a buyer, reducing the amount the buyer owes to the seller under the terms of an earlier invoice.

Credit Notes are generally used in, but not limited to, the following scenarios:

* Returned Goods: The buyer has returned goods to the seller due to damage, defect, or other reasons.
* Overbilling: There was an error in the original invoice, such as overbilling or incorrect pricing.
* Discounts or Rebates: The seller wants to offer a discount or rebate after the initial invoice was issued.
* Promotional Credits: Credits given for promotional purposes or customer satisfaction.

Measure provides a comprehensive system for managing credit notes, ensuring accurate accounting and clear communication with customers.

### Flexible Credit Issuance

You can issue a credit note for an entire invoice or for specific line items within an invoice. This granularity allows you to accurately reflect adjustments for particular products or services. When creating a credit note, you can specify the exact amount to be credited.

### Handling Paid Invoices

Measure offers flexibility when issuing credit notes for invoices that have already been paid. You can choose to:

* **Issue a Refund:** For payments processed through integrated payment providers like Stripe, you can initiate a refund directly. The credited amount is returned to the customer's original payment method.
* **Apply as Account Credit:** The credited amount can be added to the customer's account balance. This credit will be automatically applied to their future invoices.
* **Attach an Existing Refund:** If a refund has already been processed outside of the credit note workflow, you can link it to the credit note for accurate record-keeping.

### Communication and Record-Keeping

To maintain clarity for both your team and your customers, Measure's credit notes include several communication features:

* **Customer-Facing Memos:** Add a memo that will be visible to your customer on the credit note, explaining the reason for the credit.
* **Internal Notes:** Keep internal-only notes for your team's reference.
* **Automated Notifications:** When a credit note is issued, the customer automatically receives an email notification, ensuring they are aware of the adjustment to their account.

### Management and Audit Trail

All credit notes are linked to their original invoices, providing a clear and auditable trail of adjustments. You can also update the internal and external notes on a credit note after it has been issued to add more context if needed.

<Info>
  Only payments made through Stripe can be refunded
</Info>