> ## Documentation Index
> Fetch the complete documentation index at: https://docs.yorlet.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Understanding fund flows

> Learn how to split payments between your platform and owner accounts when you collect payments.

![title](https://res.cloudinary.com/djp21wtxm/image/upload/v1680656182/i1600x835-32O6wp-yhXed_ttvncf.png)

## Transfers

Transfers allow you to move funds collected from payments to different owner accounts. We support a variety of use cases for fund movements. When creating invoices, subscriptions, or one-off payments, you can specify different transfer behaviours that dictate the fund flows of the payments.

### Transfer behaviours

Yorlet supports three main transfer behaviours:

* `automatic` - initiates transfers to owners of the supplied unit’s ownership structure.

* `owner` - initiates transfers directly to a specific owner.

* `none` - will not initiate any transfers.

<Note>
  Yorlet recommends always using `automatic` when transferring rent payments to ensure that the current owners of the unit receive the funds.
</Note>

### Automatic transfer behaviour

Automatic transfers are recommended when you want to transfer funds based on the current ownership structure of a supplied unit. You can set up [Unit Ownership](/owners/unit-ownership) records to create these structures for accurately moving funds to the desired owner accounts.

### Owner transfer behaviour

Owner transfers are recommended when you want to transfer funds to a single owner, regardless of the ownership structure of the unit. For example, you want to collect utilities from customers and need to allocate these funds to a supplier owner account.

## Collecting fees

When initiating transfers you can collect fees on the transfer amount with [Collections](/owners/fund-flows/collections), this enables you to charge owners for services, like rent collection. When using the `automatic` transfer behaviour fees are automatically deducted from the owner based on the unit’s owner fees. For example:

* An invoice for £1,200 is successfully paid

* The associated unit has the management fee set to 10%

* The line item of the invoice has the type `rent` and is set to `automatic` transfer

* Yorlet initiates a transfer to the owner of the unit

* An owner payment is created on the destination owner account

* Yorlet creates a collection for £120 from the owner based on the unit’s management fee

* Your platform balance is credited by £120, the amount collected from the owner’s balance

## Transfer events

This table illustrates the events and resources that are created when transferring funds:

| Event              | Resource                                                |
| ------------------ | ------------------------------------------------------- |
| Payment succeeds   | Transfer created                                        |
| Transfer succeeds  | Owner Payment created                                   |
| Owner Payment paid | Owner Balance Transaction created for the Owner Payment |
| Owner Payment paid | Collection created due to unit’s fee settings           |
| Collection applied | Owner Balance Transaction created for the Collection    |

## Reversing transfers

You can reverse a transfer to correct a misallocation of funds to an owner’s balance. You can do this by navigating to the transfer you wish to reverse and clicking **Reverse** in the top right. You can then specify the amount to reverse and add a note about the details of the reversal.

## Refunding payments

When you refund payments collected through Yorlet Payments, Yorlet will also reverse the associated transfers to owners and refund any collections made against those transfers’ destination owner payments.