# Bitcoin merchant invoices: paid, expired, short and overpaid

A merchant invoice is an application record linking a request to detected payments and settlement rules. It can expire, receive too little, be overpaid or receive funds late. These states are different from whether a Bitcoin transaction is valid. In BTCPay’s documented model, Processing waits for settlement conditions, while Settled means those conditions were met; a manual status change does not create a confirmed payment.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/)

Canonical: https://degreesofsatoshi.com/encyclopedia/bitcoin-merchant-invoices/
Published: 2026-10-02
Substantively modified: 2026-10-02
Independently verified by an automated reviewer: 2026-10-02T19:29:20.637Z
Data current through: 2026-10-02

AI-assisted research and drafting with a separate automated source-verification pass; no external expert or named human review is implied.

## Key facts

- **Request:** Amount and quote can have an expiry ([Invoices](https://docs.btcpayserver.org/Users/invoices/))
- **Processing:** Full payment detected; settlement conditions pending ([Invoices](https://docs.btcpayserver.org/Users/invoices/))
- **Exceptions:** Partial, overpaid and late payments need context ([Invoices](https://docs.btcpayserver.org/Users/invoices/))

## Read the invoice and the chain together

The cited BTCPay guide distinguishes New, Processing, Settled, Expired and Invalid base states. It separately records exceptions such as Paid partial, Paid over and Paid late. These are product semantics; another checkout can use different names.

An expired request does not make an address unable to receive bitcoin. Money arriving after the quote window still needs reconciliation. The merchant must decide whether to fulfill, request an adjustment or refund under the actual agreement.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/)

## A detected payment can still be short

Suppose the invoice requests 50,000 satoshis but a withdrawal delivers 48,000 after deducting a service fee. The shortfall is 2,000 satoshis. Seeing the payment in a block does not make the invoice paid in full.

Likewise, two recognized payments of 30,000 and 20,000 can total the requested amount, but their timing and settlement still matter. Never infer completion from the first transaction notification alone.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/)

## Keep the business decision visible

Review the requested amount, recognized transactions, route, expiry and confirmation policy. Manually marking an invoice settled records an administrative decision; it does not prove a new blockchain event.

A refund is another payout with its own destination and processing state. Preserve its connection to the invoice instead of deleting the original payment or treating archiving as cancellation.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/); [Refunds](https://docs.btcpayserver.org/Refund/)

## Questions

### Can an expired Bitcoin invoice still receive money?

Yes. Expiry belongs to the checkout’s quote and monitoring rules, not a consensus prohibition on paying that destination. A late payment can require the merchant to review fulfillment or refund terms.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/)

### Does Settled mean the same thing in every checkout?

No. This article uses BTCPay’s documented states. A service can choose different confirmation thresholds and labels, so identify its actual conditions before relying on a status word.

Evidence: [Invoices](https://docs.btcpayserver.org/Users/invoices/)

## Claims and scope

### bitcoin-merchant-invoices-quick-answer

A merchant invoice is an application record linking a request to detected payments and settlement rules. It can expire, receive too little, be overpaid or receive funds late. These states are different from whether a Bitcoin transaction is valid. In BTCPay’s documented model, Processing waits for settlement conditions, while Settled means those conditions were met; a manual status change does not create a confirmed payment.

Educational explanation. Product-specific behavior is scoped to the cited documentation, checked 2026-10-02.

Scope: {"collection":"bitcoin","dataAsOf":"2026-10-02","blockHeight":null}

### bitcoin-merchant-invoices-fact-request

Request: Amount and quote can have an expiry

Scope: {"collection":"bitcoin","dataAsOf":"2026-10-02","blockHeight":null}

### bitcoin-merchant-invoices-fact-processing

Processing: Full payment detected; settlement conditions pending

Scope: {"collection":"bitcoin","dataAsOf":"2026-10-02","blockHeight":null}

### bitcoin-merchant-invoices-fact-exceptions

Exceptions: Partial, overpaid and late payments need context

Scope: {"collection":"bitcoin","dataAsOf":"2026-10-02","blockHeight":null}

## Sources

- [Invoices](https://docs.btcpayserver.org/Users/invoices/) — BTCPay Server. Checkout states, paid-late/over/partial exceptions and confirmations as distinct events. Locator: Invoice statuses; Invoice details; Refunding an invoice; Archiving invoices. Retrieved: 2026-10-02T18:53:56.741Z.
- [Refunds](https://docs.btcpayserver.org/Refund/) — BTCPay Server. A refund creates a separate payout and requires a usable destination rather than reversing history. Locator: Create a refund; Processing refund. Retrieved: 2026-10-02T18:53:56.900Z.

## Revision history

- 2026-10-02: First publication after primary-source research and separate automated verification.

## Cite this entry

Degrees of Satoshi editorial project. “Bitcoin merchant invoices: paid, expired, short and overpaid.” Published 2026-10-02; updated 2026-10-02. https://degreesofsatoshi.com/encyclopedia/bitcoin-merchant-invoices/