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Collective admins are able to approve refunds for up to 30 days from the date the donation was made, as long as the payment provider supports the transaction. After that point, donations can only be refunded by Fiscal Host admins.
Go to the Collective page and head to the Budget section.
Click on the Transactions Tab and then View all transactions.
Find the transaction you want to refund on the list and click on View Details.
You will find a refund button right next to the transaction details.
Click on it and confirm the operation.