Brandon Lee
When a shopper requests a refund, Worldpay performs various checks to ensure that the financial institution accepts refund instructions and that the funds are available. If the refund is approved, Worldpay contacts the financial institution, which then credits the refund to the shopper's account. The shopper will receive an email confirmation of the refund request if they have opted to receive emails for certain events. It is important to note that the time taken for the refund to reflect in the shopper's account may vary, typically ranging from 3 to 6 weeks, depending on the acquiring bank's processing time.
| Characteristics | Values |
|---|---|
| What happens when a refund is made? | The Payment Service conducts various checks to ensure the financial institution accepts refund instructions and that the amount to be refunded is available. If so, the refund request is sent to the financial institution. |
| How long does it take for a refund to be processed? | It may take 3-6 weeks for a refund to be processed, depending on the acquirer. |
| What happens if there are insufficient funds for a refund? | If there are insufficient funds in the account, an error message will appear. Merchants are advised to contact refundfailure@worldpay for further assistance. |
| How do I issue a refund? | Refunds can be made via the Payment and Order Details pop-up box on the Merchant Interface. The Refund button will always be displayed for credit and debit card payments with the status of CAPTURED or SETTLED. |
| What happens after a refund is issued? | The financial network reports back to the Payment Service that they have received the refund request. The shopper then receives the refund amount. Both the merchant and shopper may receive an email confirmation if this option is enabled. |
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What You'll Learn
Worldpay's refund process
The Refund button is available for credit and debit card payments with the status of "CAPTURED" or "SETTLED". If a payment is "AUTHORISED", you should cancel the payment instead of refunding it. When initiating a refund, the Payment Service performs checks to ensure that the financial institution accepts refund instructions and that the funds are available. If everything is in order, the refund request is sent to the financial institution, and the shopper is notified via email if they have this notification option enabled.
Worldpay has introduced faster refunds in the UK, aiming to deliver refunds to shoppers' cards in under 30 minutes. This service is available to the majority of UK shoppers using Mastercard and Visa cards at participating retailers. This faster refund capability helps to meet consumer expectations and enhances overall customer satisfaction. However, it's important to note that the actual posting times for approved transactions depend on the receiving financial institution.
In some cases, refunds may take longer to process, typically ranging from 3 to 6 weeks. This timeframe is dependent on the acquirer and the specific circumstances of the refund. It's worth noting that when issuing a full refund on a first live payment, the Payment Service deducts commission immediately, resulting in the full amount no longer being available in your account. Therefore, it is recommended to make the first live transaction of low value to avoid issues.
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Refund errors
When a refund is made, Worldpay performs various checks to ensure that the financial institution accepts refund instructions and that the amount to be refunded is available for that payment. If the refund is approved, the request is sent to the appropriate financial institution, and the shopper receives the refund amount. This process can take 3-6 weeks, depending on the acquirer.
There are several reasons why a refund may fail to be issued or received. For example, if the merchant does not have enough funds in their account to cover the refund, they will receive an error message. In this case, the merchant should contact Worldpay's refund failure team for assistance.
Another potential issue is that the refund completion form, which requires country-specific details such as bank account number, bank code, branch code, etc., is not stored and is therefore not retrievable via the Merchant Admin Interface. Hence, it is recommended that merchants print out this form before confirming the refund.
Additionally, if a payment is at the AUTHORISED status, the Refund button is not available, and the merchant should cancel the payment instead.
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Refund notifications
When a refund is made, the Payment Service conducts various checks to ensure that the financial institution accepts refund instructions and that the amount to be refunded is available. If the refund is approved, the request is sent to the financial institution. Once processed, the shopper receives the refund amount. This process can take 3-6 weeks, depending on the acquirer.
Merchants can issue a refund by pressing the "Refund" button in the Refund section of the Payment Details window. A pop-up will appear to confirm the refund amount. For a partial refund, the amount can be adjusted before confirming. For alternative payment methods, merchants can refer to the "Refunding Alternative Payments" guide for specific instructions. For payment methods requiring additional information, merchants can select "Transactions" from the left-hand menu, then "Payments," and then "Amount" next to the payment to be refunded. This will display the Payments and Order Details screen, where the Refund" button can be selected to initiate the refund process.
It is important to note that the refund completion form is not stored and is therefore not retrievable via the Merchant Admin Interface. Merchants are advised to print this form before confirming the refund. Additionally, merchants should ensure that they have a refund policy published on their website and that they follow procedures that align with Worldpay's website rules.
Both the merchant and the shopper can receive email notifications for refunds if they have set up their accounts to receive emails for certain events via the Configuration Details page under the Profile menu. These emails confirm that a refund request has been made and that the relevant amount will be returned to the shopper.
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Partial refunds
Worldpay allows merchants to issue both full and partial refunds to shoppers. A partial refund is when a merchant refunds an amount lower than the full amount charged to the shopper.
A partial refund may be issued if a shopper returns part of the original order, if only part of an order can be supplied, or if goods are damaged. Merchants can make several partial refunds up to the value of the original order.
To issue a partial refund, the merchant must enter the required amount in the Amount text box and click the Refund button. The amount entered must be less than the authorised amount. If successful, "refund successful" will be displayed, and the payment status will change to "SENT_FOR_REFUND".
When a refund is made, the Payment Service performs checks to ensure that the financial institution accepts refund instructions and that the amount to be refunded is available for that payment. If so, the refund request is sent to the appropriate financial institution, and the shopper will receive the refund amount requested. Refunds may take up to 3-6 weeks to be processed, depending on the acquirer.
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International refunds
Once the refund request has been processed, the status will change from SENT_FOR_REFUND to REFUNDED. This means that the financial network has reported to the Payment Service that they have received the refund order and the shopper will receive the refund amount on their card or account. The shopper will receive an email confirming the refund request if they have set up their account to receive emails for certain events.
Merchants can issue full or partial refunds, which are made from the Payment and Order Details pop-up box on the Merchant Interface. Partial refunds may be issued if the shopper returns part of the original order, if only part of an order can be supplied, or if goods are damaged. Multiple partial refunds can be issued up to the value of the original order.
Worldpay has introduced a faster refund service in the UK, which will roll out across the European Union in 2025. This service provides near-instant refunds to shoppers using Mastercard and Visa cards at participating retailers.
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Frequently asked questions
You can issue a refund by pressing the "Refund" button in the Refund section of the Payment Details window. If you want to issue a partial refund, you must change the amount before pressing the "Refund" button.
Once you issue a refund, the Payment Service performs various checks to ensure that the financial institution accepts refund instructions and that the amount to be refunded is available. If everything is in order, the refund request is sent to the financial institution. The shopper will then receive the refund amount, although this can take up to 3-6 weeks.
Yes, Worldpay communicates with the financial network to process the refund, and the bank will be informed of the refund by the financial network.
