why do chargebacks take so long?

[QueBert]

returned something to BB, one of the rare times I paid with my debit card. Not thinking about the fact I have to wait 2-3 days for it actually show up again in my bank account I go to the ATM to take some cash out.

never understood the waiting period, I return said item it should charge my account back as fast as it charged my account when I bought it. I don't have much experience with different banks so maybe this is just a Wells Fargo thing? Somehow I doubt it is, but I'm curious if all banks/credit unions take their sweet time here.

 

[purbeast0]

ive wondered this myself too.

they can take out $$ instantly but can't give it back to you instantly.

annoying sometimes.

 

[FoBoT]

that is why you use a real credit card, not a debit card (for anything expensive/you might return)

 

[newb111]

Returning an item is not a chargeback

 

[QueBert]

Originally posted by: newb111
Returning an item is not a chargeback

ok, what's the official term? I know my account will be charged back the money for the item so I just assumed it should be called a chargeback? whatever the case now I gotta wait a day or 2 longer for my bank to credit my account with the 4 bills so I can afford a video card for the new system I'm building, damn banks! hehe

 

[purbeast0]

Originally posted by: FoBoT
that is why you use a real credit card, not a debit card (for anything expensive/you might return)

even with credit cards it doesn't happen instantly like it does when they take your money.

 

[QueBert]

Originally posted by: purbeast0

Originally posted by: FoBoT
that is why you use a real credit card, not a debit card (for anything expensive/you might return)

even with credit cards it doesn't happen instantly like it does when they take your money.

depends on the card, when I returned something to Home Depot I had bought with my Home Depot charge card, I checked my balance like 2 minutes later and it was already credited back. Banks & all CC's could do the same thing, I don't really see a good reason why they don't. It's all electronic so it should be instant, or close. Not 2-3 days.

 

[FoBoT]

but with a credit card, it isn't your money, it is the CC companies money at that point

with a debit card, it is your money and you have to hope/wait to get your money back

 

[jdobratz]

Most banks do not have a live system for credit debits/credits, only PIN transactions. This means that when you swipe your card, all thats happening is that they are authorizing that you have x amount of money in your account at the time of purchase. The merchant then has to balance out their cc system for the charges/credits processed via it to be submitted to the system to then get routed to the individual institutions. And as you can imagine, most merchants are not in a huge hurry to give money back while they quickly process the money coming in.