What is a credit card refund?
When you buy something using a credit card, you’re borrowing money from your card provider. They pay the retailer for you, and you pay the provider back later.
If you return what you bought or cancel a service, the retailer sends that money back to your card provider, who then credits it to your account. In simple terms, it’s like undoing part of the original payment — it reduces the amount you owe on your card.
Just remember: A refund isn’t the same as making a payment. If you still have a balance on your card, you’ll need to keep paying at least the minimum amount to avoid any late fees or interest.
How long does a credit‑card refund take?
Once the retailer has processed your return or cancellation, your refund will usually show up on your credit card account within three to seven working days. Some card providers say it can take up to 10 working days, depending on the retailer’s systems and the type of purchase.
Online or overseas purchases can take a little longer. For example, if you post something back to an online shop, they might not process your refund until the item has been received and checked.
It’s also worth knowing that the clock doesn’t start until the retailer actually sends the refund request to your card provider. Bank holidays, weekends, and billing cycles can also affect when it appears on your account.
A good rule of thumb is to expect your refund within a week — but allow up to 10 working days just to be safe.
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Why does it take that long?
A credit card refund isn’t instant because a few different systems need to talk to each other before the money can be credited back to your account. Here’s what usually happens:
- The retailer starts the refund – They send the refund request through their payment system.
- The payment network processes it – This could be Visa, Mastercard, or another network.
- Your card provider receives it – They apply the refund to your account.
- You see it on your account – Depending on billing cycles, it may show straight away or on your next statement.
If any of these steps are delayed — for example, if the retailer’s system takes time or the refund crosses over a weekend — your refund might take a bit longer.
What if the retailer won’t give you a refund?
If the retailer refuses to refund you, you may still be able to get your money back through your credit card provider. There are two main options:
1. Section 75 protection
If you paid by credit card and your purchase cost between £100 and £30,000, you’re covered under Section 75.
This means:
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Your card provider and the retailer share responsibility for the purchase
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You can claim your money back if the goods were faulty, not delivered, or mis-described
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You don’t have to go through the retailer first — though it’s often quicker to try them before contacting your card provider
2. Chargeback
If your purchase doesn’t meet Section 75 rules (for example, it cost less than £100 or was made with a debit card), you might be able to use chargeback.
This allows your card provider to:
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Ask the retailer’s bank to reverse the transaction
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Recover your money if something went wrong
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Help you even though it’s not a legal right — so success isn’t guaranteed
What to do next
- Contact the retailer first and explain what went wrong — include proof of purchase.
- If they don’t respond or refuse a refund, contact your card provider.
- Ask whether you can make a Section 75 or chargeback claim.
Tips to make refunds run smoothly
There are a few simple things you can do to help your refund go through faster:
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Return items promptly – The sooner the retailer gets them back; the sooner they can process your refund.
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Follow the shop’s refund policy – Some retailers need proof of purchase or specific forms filled in.
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Keep your receipts – These help if you need to show when and how you paid.
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Track your account – Check your online banking or app regularly to see when the refund appears.
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Follow up if needed – If 10 working days pass and there’s still no sign, ask the retailer first. If they’ve already processed it, your card provider can check what’s happened.
Most of the time, refunds appear with no problem at all — but staying organised can help you avoid any unnecessary delays.
What happens once your refund arrives?
When the refund comes through, it reduces how much you owe on your card. This can also help lower the amount of credit you’re using, which may have a small positive effect on your credit score.
Until the refund appears, though, your balance might still show the full amount — so it’s important to keep paying your minimum payment on time. That way, you’ll avoid any late fees or damage to your credit record.
If your refund leaves your account in credit (meaning your card provider owes you money), you can either spend it on future purchases or ask for the money to be paid back to your bank account.
Final thoughts
Waiting for a refund can be frustrating, but it’s usually just part of how the system works. Knowing what’s happening behind the scenes — and what your options are if something goes wrong — can help you feel more in control of your money.
Disclaimer: We make every effort to ensure content is correct when published. Information on this website doesn't constitute financial advice, and we aren't responsible for the content of any external sites.
Fiona Peake
Personal Finance Writer
Fiona is a personal finance writer with over 7 years’ experience writing for a broad range of industries before joining Ocean in 2021. She uses her wealth of experience to turn the overwhelming aspects of finance into articles that are easy to understand.
