Payment

Payment

PAYMENT.CAPTURE.COMPLETED

• Zuora updates Gateway State to Settled on the payment transaction.

• Zuora updates Gateway Reconciliation Status to COMPLETED and populates Gateway Reconciliation Reason .

Payment

Payment

PAYMENT.CAPTURE.DECLINED

• Zuora updates Gateway State to "FailedToSettle" on the payment transaction. Gateway Reconciliation Reason is populated with the reason information and Gateway Reconciliation Status is set to DECLINED or DENIED.

• Zuora creates an external refund with the reason code set to "Payment Rejection" if the code is active in the Reason Codes list . Otherwise, Zuora creates an external refund with the reason code set to the default reason code in the list.

• If the Support refunding payments from the credit balance with Gateway Reconciliation setting is enabled, a credit balance refund will be created. See Refund payments with credit balance in gateway reconciliation for more information.

Payment

Payment

PAYMENT.CAPTURE.DENIED

Payment

Payment

PAYMENT.CAPTURE.REVERSED

• Zuora updates Gateway State to "Settled" on the payment transaction.

• By default, Zuora creates an external refund. If "Payment Reversal" is active in the Reason Codes list , the reason code is set to "Payment Reversal". Otherwise, the reason code is set to the default reason code in the list.

• If you want to opt out of this default behavior and disable the generation of external refunds for dispute events, submit a request at Zuora Global Support .

• Zuora updates Gateway Reconciliation Status of the payment to COMPLETED.

• Zuora updates Gateway Reconciliation Reason of the payment with the corresponding message.

Payment

Refund

PAYMENT.CAPTURE.REFUNDED

• Zuora updates Gateway State to Settle on the refund transaction.

• Zuora updates Gateway Reconciliation Status to COMPLETED and populates Gateway Reconciliation Reason .

Disputes

Payment

CUSTOMER.DISPUTE.RESOLVED

• When Zuora receives a CUSTOMER.DISPUTE.RESOLVED event for PayPal Complete Payments, Zuora evaluates the dispute outcome before deciding whether to create an external refund.
• Zuora creates an external refund only when the dispute result makes the merchant financially liable, such as when the buyer wins the dispute or the merchant accepts the claim.
• Zuora does not create an external refund when the merchant wins the dispute or when the buyer cancels the dispute.
• This behavior helps keep accounts receivable aligned with the actual dispute outcome and helps prevent incorrect or duplicate refunds from being recorded in Zuora.
• If the chargeback currency is different from the payment currency, Zuora does not create an external refund automatically.
• If the Payment Reversal reason code is active in the Reason Codes list, Zuora uses that reason code. Otherwise, Zuora uses the default refund reason code configured in the list.
• If Support refunding payments from the credit balance with Gateway Reconciliation is enabled, Zuora creates a credit balance refund instead of a standard external refund where applicable.

If you do not want Zuora to create refunds for chargeback events, submit a request to Zuora Global Support.