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There's a simple yet important difference between using void and refund in sales transactions. Voiding cancels a transaction before it is settled, while refunding happens after settlement. Every sale involves authorization and batch closure, which are key factors in deciding whether to void or refund a transaction. Authorization occurs when a card is processed, and the transaction is either approved or declined. Batch closure involves sending transactions through processing networks to complete the cycle. Knowing when to void or refund is essential for effective transaction management.
