Halifax has issued a clarification on how refunds to credit cards are handled, following a customer inquiry on social media. The customer asked: 'I've got a refund to my credit card. How do I move that into my current account?'
The bank responded that if a credit card has a credit balance, the refund will first reduce any outstanding debt. Any remaining credit can then be refunded to the customer's current account. Halifax also advised customers to send a message through the Halifax app or online banking for further assistance.
Under Section 75 of the Consumer Credit Act 1974, customers may be able to claim a refund from Halifax if a payment made by credit card for goods or services goes wrong, such as if the item is faulty, not delivered, or not as described. Halifax states it aims to resolve payment dispute claims within five working days.
Financial expert Martin Lewis uses the acronym 'SAD FART' to summarise key grounds for challenging a payment: unsatisfactory, not as described, faulty, or not lasting a reasonable time. Customers disputing a payment under Section 75 must provide relevant details to support their claim.
