Visa Debit Chargeback - The Facts
The majority of us are now aware of the benefits of using our credit cards in terms of the insurance it offers us in the event the supplier is unable to offer the goods and services we have paid for. But did you know that you can also claim the money back if you have paid on your Visa Debit card? And unlike your credit card, which imposes a minimum spend of £100, you can claim back any amount of money.
The process is called Visa Debit Chargeback, and, as the name suggests, is a procedure in which the banks will ‘charge back’ the value of the original transaction directly from the supplier’s bank, and pass this amount on to you.
All banks who issue Visa debit cards have only recently agreed to process chargeback requests, and there is still widespread confusion over what it is and how it works. Therefore if you meet a dead end in your discussions with bank staff, persist. The facility is there for you to take advantage of.
Invoking the chargeback procedure
If you suspect your card has been used fraudulently, if the goods and services you bought with your card are faulty or if they do not materialise, then you should contact the bank who has provided you with your Visa debit card within 120 days, requesting they initiate the chargeback process. It does not mean you will automatically and immediately get your money back. It will initially become a ‘dispute’ in which the claim will be fully investigated by both banks before any money is returned.
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I bought goods from an ebay seller who asked me to pay cash into a Barclays account. The goods never arrived and the seller now says he is going bust. I paid the money on my visa debit card in a bank branch. I have an invoice and receipt from the seller under a business name, but the account I paid the money into was in a personal name. Do I have any rights under the chargeback scheme. The bank are saying it was a cash transaction and therefore not covered.
A Wooding, I’m afraid you have been scammed. Always safest to use Paypal. I’m afraid you cannot initiate Visa debit chargeback if you haven’t paid on your Visa debit card.
i bought air tickets from xl ,com using my visa debit card,as youknow they went bump,iinitiated chargeback with abey,so far i have only been messed about and am no closer to even getting things rolling,they have had all details and disclaimers,where do i go from here?
A Dayson, Don’t be put off, many people have similar complaints to yours, which often comes down to the fact that bank staff are not sure how to proceed with the claim. It can also take some time. Request that your case be escalated to someone who can deal with this more efficiently.
I paid with my visa debit card for my holiday in Feb with go2spain.co.uk and 10 days before we were due to leave (July 5th) they went bust. I immediately went too the my bank and they said “sorry you should’ve paid it with your credit card in this case there is nothing we can do”. A month later I found out about the chargeback scheme and went back too my bank and they said “we’ve never heard of it”. A couple of weeks later (Sept 15th) XL went bust and chargeback scheme was in the news. I went back too the bank and kicked up a fuss and they said they would process my claim. After hearing nothing A phoned the call centre on Friday (21st Nov) and they couldn’t find my claim! She then contacted the card experts that deal with this scheme and guess what?because 120 days have lapsed they can’t process my claim!
Sutty, I’m not 100% sure about this, but if you can prove you first requested this to take place within the 120 days, then you should be OK. Do you have any correspondence which will prove this? Alternatively, you can request copies of any phone conversations you had with the bank, although this can usually take a couple of weeks.
I bought 3 no’s kitchen appliances with an on-line appliance store (RTD (UK) Ltd, formerly Biasco Ltd). They failed to deliver so i cancelled giving written notice. 6 weeks later and i am still to receive a refund. I paid using my visa debit card, have informed my bank but worried that they’ll say you should have used your credit card and the money has gone. What are the chances of ever seeing the £1,400 reaching my account?
I purchased two pairs of boots from the barratts website in november, i have returned them using the royal mail and to be signed for by barratts. Barratts have denied that they have received them and the post office have obtained a signiture on delivery. I paid for them with a halifax visa debit card, am i able to use the charge back scheme?
Allan, the company should have refunded you within 30 days. However you have the right to invoke Visa Debit chargeback in the event of failure to perform the contract. There are many stories of bank staff trying to get out of their obligations under the chargeback scheme. Therefore persevere and if necessary request the matter be escalated. remember your deadline for making claims.
Naomi, I doubt it. The chargeback procedure is to protect you against non-performance of contract for items paid for by Visa Debit. This issue relates to an item which wasn’t received. I would take this up with the post office - they must have a detailed record of who signed for it, when and where.