Card Refund: Understand how the process works

Card refunds are a consumer's right in cases of undue charges, fraud, and even failure to deliver the product.

But do you know how to proceed in any of these cases with the establishment and the financial institution?

In this post, we'll help you better understand how card refunds work and clarify the main questions about the procedure.

For example, what you should do, what is required, what the deadline is, possible errors and what the consumer's rights are.

So, keep reading and pay attention to everything we've prepared so you're aware of your rights and how to proceed.

What is a card chargeback?

A card chargeback is a process in which a given transaction is reversed and the amount is returned to the consumer.

This refund may occur when there is a failure in the purchase, which may be due to an error by the bank, the retailer, or even due to suspected fraud or undue charges.

Therefore, the consumer has the right to a refund on the card and have their money back in the event of a purchase that was not authorized or that was not delivered as promised.

How is the card refund done?

Card refunds are made by the issuer, which is the bank or financial institution responsible for issuing your card.

This process is done through a request from the customer, who must prove that there was a problem with their purchase, such as proof of payment and invoices, for example.

To request a refund on your card, you will need to contact your bank or financial institution.

This contact is usually made via telephone, email or customer service chat (SAC).

Therefore, when making contact, it is important to have all the necessary information on hand to prove that there is in fact a problem with your purchase.

What documents are required to request a card refund?

To request a refund on your card, you will need some documents that prove the authenticity of the problem, so before making the request, have the following on hand:

• Proof of payment;
• Invoice;
• Purchase confirmation email;
• Printouts of conversation with the seller;
• Product tracking information (in case of online purchase), among others.

Keep in mind that when requesting a card refund, you will need to prove that something went wrong with your purchase.

Therefore, be sure to present as much evidence as possible that this happened.

Because the more evidence you provide, the faster the card refund process will be.

But it is worth remembering that each issuer may request different documentation, the ones mentioned above are basically those requested for evaluation.

In what situations can I request a refund on my card?

There are 4 situations in which you can request a card refund.

Therefore, we will list what they are and how you should act in each of them:

• Error on in-person purchase invoice

In this case, you will need to go to the establishment or contact them through the means provided and inform them of what happened.

The establishment must refund the card and make a new, correct charge.

But if the establishment denies it, even with proof of error, you can request a refund directly from the card issuer.

• Withdrawal or cancellation of purchase in the physical store

What is important to note is that the retailer is not obliged to refund the card if there is no irregularity.

• Withdrawal or cancellation of online purchase

Every online purchase offers a “cooling off period” of up to 7 days after receiving the product.

Therefore, simply contact the seller to find out how the company can resend the product and refund the card.

• Incorrect invoice for online purchase

In this case, you must contact the establishment and inform them of the incorrect charge.

And don't forget that you will need to prove the error by presenting the necessary documentation.

If the establishment does not resolve the issue, contact your card issuer and report the problem.

How do I request a refund on my card?

Once you identify the need to refund your card for any of the reasons mentioned above, you will need to take the following steps:

• Contact the establishment by phone, email or chat and explain the reasons why you are requesting a refund on your card;
• The seller, in turn, must check the cancellation policies and contact their card operator;
• Then, with all the information correct, the operator will transfer the amount to the consumer (but the establishment is responsible for returning the amount);
• And in the case of fraud or if the establishment refuses to refund your card, you will need to contact your card issuer.

What is the credit card refund period?

The refund period may vary depending on the problem presented.

Therefore, the refund can be made 24 hours after confirmation of the purchase cancellation.

But for example, in cases of undue charges the deadline is up to 5 business days, while in cases of fraud, cloned card , among others, is up to 30 days.

In refund processes carried out through the card terminal, the managing company may take up to 15 days to notify your card issuer.

However, it is important to remember that the deadline for refunding the card starts from the date the consumer reported the problem to the establishment or issuer.

The refunded amount may take some time to appear on your card statement, and this will vary depending on the criteria of the operator and the seller.

Therefore, after the process is completed, the refunded amount will appear on your invoice as a credit.

However, this may take up to 2 months, that is, two invoice closings to happen.

So be careful before counting on the amount being refunded on your invoice.

What are the consumer's rights in this case?

The consumer has several rights that are guaranteed by law in cases of card chargeback, including:

• Repentance

In cases of online purchases, the consumer will have up to 7 days after the purchase to cancel the product or service and request a refund;

• Clear information

It is the establishment's obligation to provide clear information about deadlines and procedures regarding the return and cancellation policy;

• Security

The establishment must guarantee the security of transactions and be responsible for any fraud or problems that may arise;

• Privacy

Consumer information must be kept confidential and the establishment cannot make any disclosure related to the consumer's personal information, such as credit card number and CPF or bank details.

Problems that may occur during the process

Even though it is a process provided for by law that supports suppliers and consumers, card refunds can still present some problems and difficulties.

Therefore, we will list some of the problems that may arise so that you can anticipate them if they happen.

• Partial refund: The establishment can only pay part of the amount paid by the consumer;
• Refusal of refund: This happens when the establishment refuses to refund the card due to lack of proof;
• Lack of clear information: The establishment may not provide clear information about the price and refund process, making the request difficult.

Tips to avoid card chargebacks

Although it is a process guaranteed by Brazilian law, we can note that card refunds are a bureaucratic process that can be quite stressful.

Therefore, it is important that you take some precautions so that it can be avoided and save you headaches in the future.

So follow our tips to improve your credit card shopping experience:

• Always try to buy from reliable stores and websites;
• Research the establishment's reputation, Complain Here is a good option;
• Check the reviews of previous buyers related to the product you want to buy;
• Pay attention to delivery details, price, delivery service reputation, expected delivery time, among others;
• Never give passwords or your card number to strangers.

These tips are to prevent you from going through an entire bureaucratic process.

Therefore, always pay attention to all information before and at the time of purchase.

And if you have any questions, be sure to contact the seller and clarify everything before completing the payment.

Conclusion

Card refunds are a process that guarantees consumer security and rights in cases of problems with purchases.

However, it is important to be aware of deadlines, necessary documentation and possible problems that may occur during the process.

And in case of difficulties, the ideal is to seek your rights and demand that the establishment comply with the requirements set out in the law.

It is extremely important that establishments provide clear information about card refund policies, ensuring customer security and satisfaction.