'Cos I have a question for which my Google-foo is failing me.
The scenario:
A customer opens a standard cash savings account, and that account has a 14 day cancellation/cooling-off period. The account also offers an option to deposit funds using a debit card (verified with all the 3D Secure gubbins). The customer does just that at the point of opening, and then again a week later, using two different debit cards.
Just before the 14 day period is up, the customer closes the account. Do the funds from the debit cards need to be returned to the debit cards, or can they simply be provided to the customer by whatever other means they choose (cash, cheque, payment to another account) as a single closing balance?
I'm being told that 'Visa Regulations' say that the funds have to go back to the cards because the account as been cancelled/closed within the cooling-off period. Is this right? If so, can someone point me to the regulations that say that?
Hum, very detailed question so don't really know the specific answer. However in true STW (internet) style I'll take a guess ! It's normal for retailers to refund the specific card as that way they are rebated the card fees (eg 2%-4%), if they repay you cash etc they are out of pocket
I think in that case they are required to refund to the card; the regulation (apparently) says that if a card-funded transaction is cancelled then the funds should be returned to the card.
In the retailer case, the transaction was the purchase, and if the goods are returned the purchase has been cancelled, so the funds should go back to the card.
In the savings account case, the transaction was the funding of the account, not the opening of the account. If the opening is cancelled, I'm not convinced that funds have to be returned to the card.
If they do, it's a complete business and system process design palaver, so I really need an answer 🙁