Some people wonder whether it is possible to get a refund on their canceled credit card. If you have ever asked yourself this question, the answer is yes, it is possible. However, the process of getting a refund on your canceled credit card is no joke. This process might seem long, time-consuming, and stressful. It requires you to be patient and follow the guidelines gracefully so that you can get your money back. If your credit card happens to be canceled in the middle of a transaction, do not panic. Read on to find out more on how to get a refund on your canceled credit card.
The process of getting a refund on your canceled credit card
As soon as you notice your credit card has been canceled, and delivery has been made on the items or goods you had bought, you need to return the items to the store you purchased them at. You should then explain to the merchant the situation and the reason why you need a refund. You can conclude and agree with the merchant on how to resolve the issue together by either getting a refund or getting cash. Note that the above procedure can only be successful if the merchant is willing to make a refund. However, according to PocketSense, you can file a complaint based on getting a refund with the Federal Trade Commission, if the merchant in question is reluctant to give you a refund.
Where does the refund go?
If the merchant is willing to credit the amount to you, it is essential to know where the money went and how you can claim and confirm that a refund was made. According to The Points Guy, after the refund has been made, it goes back to the issuer of the card. After that, you will need to call and confirm with them if the credited amount was successfully made. If it was indeed successful, that means the issuer now owes you. You can request him or her to return the money to your account. Alternatively, you can ask the issuer to deposit the money to another account.
How to get a refund on a closed account
The issuer can accept the refund if the account was recently closed. The received amount can be used to settle the remaining balance if any. Nonetheless, if the account balance was selected previously, this would mean that the company still owes you money and will therefore issue a check to you.
Are there alternative refunds?
Yes, there might be alternative refunds if the credit card refund will bounce or be rejected by the issuer due to various reasons. One of these reasons could be if you had taken a very long time without using the account. In this case, you can contact the merchant on any other possible refunds available according to his term and conditions of refunding canceled credit cards. It might be a long process that might take some time to be processed. If this is the only option that the merchant has, be patient and move with his or her pace.
What does it mean to have a positive credit card?
Once the refund has been successfully made, the credit card company might refund the amount to your account which means that your credit card will read positive. If you make any transaction, you can confirm by requesting a mini account statement or log in to your account and confirm that the transaction was made by the issuer or the amount will be wired back to the checking account. According to Business Insider, if the money will be deposited to your current credit card and it reads positive, you can use the card to purchase a few things for the card to go back to a normal negative balance. It is vital to understand that after the refund has been made, you will no longer be entitled to earn the points you earned through the refunded purchase as you have no right over them.
How much time will it take to get a credit card refund?
Well, if everything goes smoothly, you should expect to receive the refund back within seven to fourteen working days. However, this will be determined by the merchant, the item you’re returning or service, and also the credit card company. The time it takes to get a refund might vary as some merchants can only refund the canceled credit card amount once their billing cycle ends. In other cases, an immediate refund can do if the account was closed. After 30 working days have elapsed, and you have not received any refund back, you might need to communicate with the merchant and the issuer to confirm if the refund was made.
The reason why your credit card can be canceled
Just as you have the ability to cancel your credit card if you find it necessary to do so, the issuers also have the right to cancel your credit card anytime they feel it is necessary. When a credit card gets canceled, you might not receive a notice immediately and you might only come to learn that it was closed later when you try to make transactions. Here is the reason why the card might be canceled.
- The card has not been in use for a long time thus, the credit card issuer is not making any profit.
- You developed a habit of not making your monthly payments on time, or have gone over the limit.
- Change of ownership of the card issuer, the current owner may require a new application to be made with them.
- If you have lost your credit card.
- If you notice any mischievous operation of fraudulent cases.
- If you no longer need to use the card for a long period. In that case, it might have a zero balance for many months.
- Increase in rate and you do not agree to the new rates or terms.