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The key difference between void and refund is essential to understand. When a sale occurs, the card is authorized by the issuing bank. The transaction remains in the system until the batch is closed, usually on a daily basis. Closing the batch completes the transaction cycle through processing networks. Voiding is done before the batch is closed, while refunding is done after the batch is closed. Remembering this distinction is crucial for knowing when to void or refund a transaction.
