> ## Documentation Index
> Fetch the complete documentation index at: https://razorpay-60c89f9a-mintlify-audit-missing-sections-1778528421.mintlify.site/llms.txt
> Use this file to discover all available pages before exploring further.

# Capture and Refund Settings

> You can accept online payments from your customers. When a customer makes a payment, it usually flows through different [payment states](/payments/payments#payment-life-cycle). Check how to [capture payments](/payments/d

You can accept online payments from your customers. When a customer makes a payment, it usually flows through different [payment states](/payments/payments#payment-life-cycle). Check how to [capture payments](/payments/dashboard/account-settings/capture-refund/#payment-capture-settings) and [set refunds](/payments/dashboard/account-settings/capture-refund/#choose-refund-speed).

## Payments in Authorised state

By default, once your customer completes a payment, it is automatically moved to the `captured` state. However, the payment can remain in the `authorized` state in the following scenarios:

* **Late authorization**: Due to external factors such as network issues or technical errors, Razorpay may not immediately receive payment status from the bank. In this case, Razorpay polls the APIs intermittently for 3 days to check the status. If we receive the payment status as successful, the payment is moved to the `authorized` state. Know more about [late authorization](/payments/payments/late-authorisation).
* **Specific business use case**: Some businesses such as those in the Ecommerce industry, may retain the payment in the `authorized` state and later move them to the `captured` state.

<Warning>
  **Watch Out!**

  * For businesses which have the **Direct Settlement** feature enabled, payments will be auto-captured irrespective of the configuration.
  * You must ensure that all payments in the authorized state are moved to the captured state within 3 days of creation. This is mandatory because payments that are not captured within this period will be refunded automatically to customers.
</Warning>

## Payment Capture Settings

You can configure **Payment Capture settings** on the Dashboard. You can choose to:

* [Auto-capture all payments](/payments/payments/capture-settings#auto-capture-all-payments)
* [Auto-capture with set timeouts](/payments/payments/capture-settings#auto-capture-with-custom-timeouts)
* [Manually capture timeout](/payments/payments/capture-settings#manual-capture-timeout)

## Choose Refund Speed

You can make Normal Refunds or Instant Refunds. You can also issue refunds in batches. Know more about [Refunds](/payments/refunds).

<Steps>
  <Step title="Step 1">
    Log in to the Dashboard.
  </Step>

  <Step title="Step 2">
    Click **Account & Settings**.
  </Step>

  <Step title="Step 3">
    Click **Capture and refund settings** under **Payments and refunds**.
  </Step>

  <Step title="Step 4">
    You can choose the type of refund you wish to make a default setting.
  </Step>
</Steps>