A refund is the process of returning money to a customer after they have made a purchase. This usually happens when a product is defective, not as described, or if the customer changes their mind. Companies often have specific policies that outline the conditions under which a refund can be issued, including time limits and the state of the product. When a customer requests a refund, they typically need to provide proof of purchase, such as a receipt. The money is usually returned through the original payment method, such as a credit card or bank transfer. Many businesses aim to make the refund process as smooth as possible to maintain customer satisfaction.