Credit balance after refund

Hello

I’m new to Tymit and was looking for an advice on refund process. I made a purchase yesterday and have set a 3 month repayment plan. I paid a first bill straight away even though its only due first week of April. And today I’ve received a message from a merchant that the order has been cancelled due to sold out stock items. The refund is yet to be processed in the following days. Could anyone advise me on what will happen with the bill that I’ve already paid once I receive the refund back into my credit? Is my credit total going to be £X plus the amount I have paid already? Or am I to expect Tymit team to refund me into my bank account moneys I paid for the bill once the refund from merchant clears back into my credit?

Many thanks
Amber

Hi Amber,

I’m pretty new as well but from what I’ve read the refund should come back and show as a credit on your account, If you want to clear the other two payments off at the end of this month’s billing cycle just replan them back down to 1 month and it will be paid off with the credit.

You will of course have credit left since you’ve made a payment already, you can simply use that credit against another purchase or contact support of you want a refund to your bank account.

Thanks Billy

If I understand correctly, once the money get refunded back into credit account, the balance will go back where it was prior the purchase +the £X I paid for the first bill? Is this when I’ll get an option to clear the other two payments simply by replaning to 1 month payment? Does this mean that the app automatically pick up that the money are back in credits account and I wont be asked to make a bank transfer to make my repayment? Sorry I’m struggling to word this as while trying to get my head around the info provided :sweat_smile:

I don’t mind leaving that extra credit that I paid in the account so I can use it towards another purchase, that’s actually quite handy. So for example I got £200 extra credit and make a purchase worth of £300, does that mean my credit be charged only £100 which I’ll have to repay? I hope I’m making sense with my questions.

Thanks so much for the help

Yes, for example if you make a purchase of £600 and split into 3 payments then make the first payment of £200 so you still owe £400. Then the £600 refund arrives leaving you £200 in credit.

I’m not 100% sure if the refund automatically clears the full transaction and cancels the payment plan leaving you £200 in credit or if it would say £600 in credit until you manually replan the other 2 payments down to 1 month, Perhaps someone else could advise on that part.

You would then be left £200 in credit and if you were to make a purchase of £300 you are correct and would only need to repay £100 as you had £200 credit.

Or if you spent £200 then your account would be clear (assuming you do not have any other purchases) you would not need to pay a bill at the end of the month as that £200 credit covered your £200 purchase.

It’s worth mentioning though that credit cards dont generally like having a positive balance so if you are not planning that £300 or £200 purchase soon you may be best asking for the refund to your bank instead.

Okay that’s good to know about the positive balance.

Will see what the options are once this refund arrives into the account :slight_smile:

Thanks for your time

Let me know what happens once the refund arrives as I’m keen to find out if it automatically cancels the payment plan for that item or if you need to manually replan down to 1 month.

Sure thing, I’ll keep you posted

Everything has been resolved by Tymit, I myself didn’t need to do anything.

The purchase shows now as cancelled on the app and the money that I paid for the first bill were redirected to another purchases standing bill that was also due for April. As this other purchases bill is couple pounds less than the one I paid, on the app it shows that this payment has + £ access money so I’ll see if anything changes when I make another purchase, if it goes towards my spending credit or will it stay till the next payment towards bills.

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That’s great you got it sorted and thanks for updating me on how Tymit dealt with the refund. I really wasn’t sure if it would cancel the transaction and payment plan or just show a credit. Still learning about Tymit myself but so far really enjoying it!

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Hey @balticamber , welcome to the community :wave:

Good to hear your refund got sorted.

We’re also working on ways to improve how we handle refunds, giving customers more control over how they’re applied to their bill. Watch this space!

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Thanks Oisin, will do :slight_smile:

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Quick question:

What happens with the exess money? The bill that I paid originally is higher than the other standing one it was redirected to. Does that access money will also go towards another bill when I make a purchase?
For example I paid £5 exess in my account and made a purchase worth of £60 with 3 months repayment plan. Now my 1st bill for this purchase is £20. As I had that £5 exess from previous bill, do I only transfer £15 from my bank account into credit towards that bill, as the total of money available to cover that bill be £20?

I believe it always tries to use any credit first.

For example I was £15 in credit then made a £75 purchase so my bill amount was showing as £60

I then decided to split the £60 over 3 payments so it would be £20 per month. This is NOT what happened however, since I had credit it applied the full credit to the first payment leaving me a first payment of £10 followed by 2 further payments of £25

So the £75 spend would usually be 3 payments of £25 but since I had £15 credit that comes off the first installment leaving a bill of £10 for the month.

If I had only spent £10 this month £5 would have carried over to the next billing period reducing any payments due or go towards any new purchases.

In general any credit is used first and if it’s not used it is carried forward until it is used.

Hope that helps, almost confused myself there :laughing:

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Okay amazing, this makes sense! I like to pay off my first bill instalment straight away when I make purchases and since you mentioned that it’s not so great to have credit in a plus balance I was just wondering if that excess gonna linger around till next bill or what gonna happen. But with everyone’s help I’m at ease now that everything is OK :ok_hand:

Though, when you say credit cards don’t usually like to be in a positive balance, do you mean as in positive when all the bills are paid off and all the credit is available and then there’s PLUS excess money (let’s say £1000 is the credit balance and none of it is in use at the moment PLUS £50 excess from were one’s overpaid a bill) is it best to ask Tymit to refund that £50 into the back account so it doesn’t sit on credit card for X time till next purchase?

Yes that’s exactly what I mean by a positive balance.

I’m not exactly sure how Tymit deal with positive balances if they were to linger around for a while. Perhaps @Oisin could give us more info on that or @jase is usually clued up on this type of thing.

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Okay cool I think I’ve got my head around this now :+1: thanks for all the help

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Credit card companies normally return any funds that result in positive balances as they’re not allowed to retain it…

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