Store Credit

Store Credit is a monetary value assigned to a customer’s account that can be used toward future purchases at the same store. Unlike a gift card—which is tied to a unique code and can be transferred to anyone—store credit is typically linked to a specific customer account and is not transferable.

Store credit vs. gift cards

While store credit and gift cards both represent prepaid value, they differ in key ways. Gift cards are transferable instruments: anyone with the code can use them, and they’re commonly given as gifts. Store credit, on the other hand, is account-bound—it’s typically issued by the store as a remedy (refund, exchange, compensation) rather than purchased as a product. Some stores blur this line by allowing customers to purchase store credit or by converting returned gift card balances into account credit.

Common scenarios for issuing store credit

• Returns and refunds: Instead of refunding to the original payment method, the store issues credit to encourage the customer to shop again.
• Compensation: Resolving complaints, shipping issues, or product defects with store credit as a goodwill gesture.
• Loyalty rewards: Granting credit as part of a loyalty or referral program.
• Gift card conversion: When a gift card balance is spent and a small residual amount remains, some stores convert it into account credit.

Implementation in WooCommerce

WooCommerce does not include native store credit functionality. Plugins like YITH WooCommerce Account Funds or WooCommerce Smart Coupons add this capability. They typically store the credit balance in user meta or a custom table and apply it at checkout—either automatically or when the customer opts in. The balance is deducted per transaction, and any remainder is preserved for future orders.