Refund considered as payment?

[mdshafiuddin24]

I would like to know that all the banks do considers refund as payment or not since I have been charged with the late payment fee on my SBI credit card but as per RBI guidelines, it should be considered as payment and should be adjusted with the last statement.

 

[cardio_guycardio_guy is verified member.]

Had a bill of 2900 . Minimum due 200.
Due date 23rd july

Redeemed cashback of 810 rs on 18th july.
Forgot to pay bill as i thought i paid along with redemption. Received email for overdue on 10th august
HDFC Bank already reported late payment to all CIC's.

THEY DON'T COUNT CASHBACK AS PAYMENT ALSO MENTIONED SAME WHILE REDEMPTION

Yes. Especialy for HDFC, Refund and cashback are not counted as payment.
Whatever the bill got generated, we have to pay that amount. Rest will be adjusted in the next bill.
Nothing more, nothing less.

 

[card-shard]

IDK why people over-complicate such trivial things.
People need to PAY full amount mentioned in the statement email+SMS, and have peace of mind (not worrying about negative remark on CIBIL)
In most cases: refunds/cashbacks aren't considered as payments.

If refund/cashback is small amount for you, it will get adjusted in next statement anyways. If it's significant amount, you can ask bank to refund excess amount in any of your bank accounts. Simple.

 

[praful47]

Merchant refunds are not considered as payment generally by the banks. I have seen banks specifically mentioning this.
It will definitely be adjusted to your bill though.
Not sure about RBI guidelines...

I cancelled one order and bill got generated on 10th August however i have received the refund amount in card after bill generation , that makes the total amount due 0 . It's due date is in the month end . So there won't be any issue na ??

 

[Bhagat Singh]

I cancelled one order and bill got generated on 10th August however i have received the refund amount in card after bill generation , that makes the total amount due 0 . It's due date is in the month end . So there won't be any issue na ??

Yes but talk to customer care once. Otherwise you might have to fight with them later on

 

[praful47]

Yes but talk to customer care once. Otherwise you might have to fight with them later on

yes , i will do

 

[cardio_guycardio_guy is verified member.]

I cancelled one order and bill got generated on 10th August however i have received the refund amount in card after bill generation , that makes the total amount due 0 . It's due date is in the month end . So there won't be any issue na ??

You have to pay the bill. When card is closed you will get the amount back in your bank account.

 

[Jatin Kumar]

There are some banks that I wish never improve their customer service so that they can get bamboo from RBI and I can get compensation. 😂

SBI bank has done this same. We are getting for compensation for this issue after complaining to RBI ??

 

[Jatin Kumar]

Minimum Due Amount was paid Seprately ?

AFAIK, in case of SBI even if Full outstanding Amount is refunded after statement generation , one has to pay atleast minimum due Amount to avoid late fee.

But you can file complaint with RBI as SBI Voilated RBI Guidelines.

Any Compensation can we get from RBI for this issue 😂 ?

 

[VISHESH_BANSAL]

Any Compensation can we get from RBI for this issue 😂 ?

Raise the Complaint and Explain Properly How SBI Violated RBI's Master Direction.

 

[zaid_2913]

Need help from the experts,
My SCB statement was generated on 11th November with outstanding 1714.95 and a refund also received on 11th November but it did not included in the statement. On 12th i have checked in sc mobile application, balance was negative 499 so did not made any payment. Now they have charged 700 rupees as late fees and interest.
Now I don’t mind about money but this will impact CIBIL. Have mailed PNO but don’t have much hope.
Should i approach RBI if they failed to reverse the charges and CIBIL suppression.
@VISHESH_BANSAL @nikzcool @SSV @TechnoFino

 

[Aniket]

Need help from the experts,

Not an expert, here!
Though trying to address your concern.

My SCB statement was generated on 11th November with outstanding 1714.95 and a refund also received on 11th November but it did not included in the statement. On 12th i have checked in sc mobile application, balance was negative 499 so did not made any payment.

Assumption:
What you're saying is absolutely correct, atleast outstanding amount during the billing period 12 Oct to 11 Nov was equal to amount credited including refund/reversal until the due date. Then you're safe, don't worry.

You just have to fight and if they will complicate the things and will try to cause further inconvenience then don't forget to demand compensation when you make a complaint to reverse late payment fees & others, if any, and rectification in reports.

Now they have charged 700 rupees as late fees and interest.
Now I don’t mind about money but this will impact CIBIL. Have mailed PNO but don’t have much hope.
Should i approach RBI if they failed to reverse the charges and CIBIL suppression.

Wait a while, first see what they respond. Hope, you have mailed them properly.

And when no timely expected resolution is provided then raise the complaint to BO. But before making complaint give us update and take necessary suggestions if required.

@VISHESH_BANSAL @nikzcool @SSV @TechnoFino

🤭

 

[card-shard]

Need help from the experts,
My SCB statement was generated on 11th November with outstanding 1714.95 and a refund also received on 11th November but it did not included in the statement. On 12th i have checked in sc mobile application, balance was negative 499 so did not made any payment. Now they have charged 700 rupees as late fees and interest.
Now I don’t mind about money but this will impact CIBIL. Have mailed PNO but don’t have much hope.
Should i approach RBI if they failed to reverse the charges and CIBIL suppression.
@VISHESH_BANSAL @nikzcool @SSV @TechnoFino

Here is simple approach:

IDK why people over-complicate such trivial things.
People need to PAY full amount mentioned in the statement email+SMS, and have peace of mind (not worrying about negative remark on CIBIL)
In most cases: refunds/cashbacks aren't considered as payments.

If refund/cashback is small amount for you, it will get adjusted in next statement anyways. If it's significant amount, you can ask bank to refund excess amount in any of your bank accounts. Simple.

 

[cardio_guycardio_guy is verified member.]

Told many times. 'Refund considered as payment' thing depends on bank to bank. Some do, some don't.
Better safe than sorry. Pay the full amount in the statement. Refund will be adjusted in the next statement.

Or, write to customer care and get a written confirmation prior to payment itself. But don't give them any loopholes or don't allow them to reply in their standard shitty template.
Ask straight and clear. Tell them to say yes or no.

 

[CMGCMG is verified member.]

Need help from the experts,
My SCB statement was generated on 11th November with outstanding 1714.95 and a refund also received on 11th November but it did not included in the statement. On 12th i have checked in sc mobile application, balance was negative 499 so did not made any payment. Now they have charged 700 rupees as late fees and interest.
Now I don’t mind about money but this will impact CIBIL. Have mailed PNO but don’t have much hope.
Should i approach RBI if they failed to reverse the charges and CIBIL suppression.
@VISHESH_BANSAL @nikzcool @SSV @TechnoFino

Its supposed to work like that. But banks being banks, didn't implement it properly. So, it is always better to pay the minimum. This will have an impact on cibil.

So, communicate with them, then go to RBI ombudsman

Master Directions: https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12300
CHAPTER – II CONDUCT OF CREDIT CARD BUSINESS
9b (v) Card-issuers shall report a credit card account as 'past due' to credit information companies (CICs) or levy penal charges, viz. late payment charges and other related charges, if any, only when a credit card account remains 'past due' for more than three days. The number of 'days past due' and late payment charges shall, however, be computed from the payment due date mentioned in the credit card statement, as specified under the regulatory instructions on 'Prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances' amended from time to time. Late payment charges and other related charges shall be levied, only on the outstanding amount after the due date, and not on the total amount due.

(vi) Interest shall be levied only on the outstanding amount, adjusted for payments/refunds/reversed transactions.

 

[zaid_2913]

Its supposed to work like that. But banks being banks, didn't implement it properly. So, it is always better to pay the minimum. This will have an impact on cibil.

So, communicate with them, then go to RBI ombudsman

Master Directions: https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12300
CHAPTER – II CONDUCT OF CREDIT CARD BUSINESS
9b (v) Card-issuers shall report a credit card account as 'past due' to credit information companies (CICs) or levy penal charges, viz. late payment charges and other related charges, if any, only when a credit card account remains 'past due' for more than three days. The number of 'days past due' and late payment charges shall, however, be computed from the payment due date mentioned in the credit card statement, as specified under the regulatory instructions on 'Prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances' amended from time to time. Late payment charges and other related charges shall be levied, only on the outstanding amount after the due date, and not on the total amount due.

(vi) Interest shall be levied only on the outstanding amount, adjusted for payments/refunds/reversed transactions.

Not an expert, here!
Though trying to address your concern.

Assumption:
What you're saying is absolutely correct, atleast outstanding amount during the billing period 12 Oct to 11 Nov was equal to amount credited including refund/reversal until the due date. Then you're safe, don't worry.

You just have to fight and if they will complicate the things and will try to cause further inconvenience then don't forget to demand compensation when you make a complaint to reverse late payment fees & others, if any, and rectification in reports.

Wait a while, first see what they respond. Hope, you have mailed them properly.

And when no timely expected resolution is provided then raise the complaint to BO. But before making complaint give us update and take necessary suggestions if required.

🤭

Thanks brother, i have sent a email, today I called CC care and he immediately apologized and taken request to refund the amount, and also assured there will be no impact on CIBIL. anyhow waiting for email confirmation.

 

[nikzcool]

I

Thanks brother, i have sent a email, today I called CC care and he immediately apologized and taken request to refund the amount, and also assured there will be no impact on CIBIL. anyhow waiting for email confirmation.

Think scb is good enough bank, they will reverse the charges and also not affect cibil.

Recently I upgraded my sc smart to sc ultimate, smart had outstanding of 5k, which i paid to smart however ultimate was still reporting amount due and I was charged some 900 finance charges, called them up explained the situation and was resolved in just 2hrs.

Also the redemption portal was down for close to 20-30 days when I upgraded my smart, and I made complaint of that as well, i was awarded 5k equal to my smart points into my ultimate card.

So yes sc should be able to resolve ur query unlike icici which keeps dragging these types of cases unless rbi is involved.

 

[kanhu]

Some banks are accepted as a payment but Like SBI not Accepting as a payment .. SBI will charge Fin out of total bill amount .. Other bank like kotak ,icici if you do same .. it consider a bill payment .

Recently I face this problem and j paid 😭 charges by SBI

 

[cardio_guycardio_guy is verified member.]

Same problem with Swiggy HDFC card. Bill generated 50000, cashback came after 2 days 500. So ideally it should be 49500 but hdfc expects us to pay full 50k. To be on a safer side, I pay the full bill amount.

 

[CardTox]

In my experience with my Axis bank card, refund from snapay was considered as bill payment, still i was charged late fee by Axis bank, however on my complaint it was reversed. When i received the refund, i got an sms that 'we have received the payment of Rs. xxxxxx' the refund amount, so i was sure this refund is considered the bill payment, i did not pay me bill that time, but i was charged for missing my payment!!!!