The shopkeeper just swiped your card twice. Ouch! Is it possible to get that money back? Or you just cancelled an order that you paid for using your credit card. How quickly can you get the money back? These are some of the most frequently asked questions when it comes to the reversal of credit card transactions. There might be many other reasons why you might want a credit card transaction to be reversed. Here, we try to address some of the questions.
You didn’t like the product that you purchased and returned it or you just cancelled an order. In these cases, the merchant from whom you bought the product will have to initiate the refund process. Read the terms and conditions on the website. Every e-retailer has their own timelines and processes for refunds. While some merchants refund the amount to your credit card account within a few hours or days, there are others who will refund your money in the form of discount coupons or cashback to the merchant’s wallet.
Contacting your bank in these cases is of no help. You need to stay in touch with the merchant and follow up to ensure that your money is refunded as soon as possible. If the merchant says that they have refunded the amount to your credit card account, you can call up your credit card’s customer care number to ensure that this gets reflected in your next credit card bill. Usually, refunds take only 2-4 business days to hit your account if the merchant has already initiated the refund process.
Cancellation of orders
You have always approached the merchant or the e-retailer to cancel your order if don’t want that product that you purchased. Did you know that you can cancel the order by contacting your bank as well? Yes, you can. This is called chargeback.
Chargeback is where the merchant or the e-retailer will not be paid any money if you want to cancel the order. This can be done up to 180 days from the date of purchase. When you request for a chargeback, the credit card issuer or bank will not pay the amount swiped/used online by you to the merchant. The billed amount will be reversed on your next credit card bill. This is especially useful when you order a product and it is taking forever to get it. This is also useful when you don’t trust the merchant or think they won’t pay you back.
We are sure there have been times when the card was swiped, you got an alert but the merchant insists that the transaction has got cancelled. This is when you are often charged twice due to a faulty Point of Sale (PoS) machine. This is very common.
You can talk to your bank about these transactions. They will be able to talk to the merchant and reverse one of the transactions. Usually, the merchant is willing to give you cash for the extra swipe. If not, your bank can help you get the money back.
Not getting the money back
There might be times when neither the merchant nor the bank is helping you get the money back. In these situations, you can file a case in the consumer court. Unlike popular perception, you don’t need a lawyer to do this. You can file a case against the merchant.
Here’s a list of credit card transactions for which you can get a reversal.
- Any unauthorized transaction that you weren’t aware of
- Being charged twice for the same purchase.
- Fraudulent transactions or transactions that happened after your card was stolen. In case of the latter, you should have reported the loss of your card promptly.
- Any refunds you haven’t received despite cancelling the order or returning the product.
- Any charges on the card that you never made. For example, a charge for any purchase that you never made.
- Any payments made despite you giving stop payment requests.
Remember, in case of purchases you have to talk to the merchant before you contact your bank. In the case of fraudulent transactions, only your bank can help you. Always check your credit card statement to ensure that you are charged only for those transactions that you actually made.