Why does it take retailers days to credit you back when you return an item?

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Whenever you return something to a retailer it can take 3-4 business days to get the credit on your account yet they take out the money when you buy something almost instantly. Never understood this.

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Both them and visa like to hang onto the money.

I had the same thought with deposits at the bank versus checks/debits at a store. If a store can run your check and debit card and immediately debit your account, why the frick does it take so long for a bank to get a check you deposit to credit your account EVEN when the check is drawn on the same bank?

It is actually the ach system that the credit return must pass thru. The merchants equip.ent handles it immediately, just like a charge....but then it must pass thru a complicated ach (clearing house) between the card issuers and the banking system. There are several entities involved besides the merchant. And after all is complete, then the card issuer can relay the credit an d post it back to your card.

If it were originally a PIN debit trxn, thats different and the store then drives you cash on your return. There is no "un-doing a PIN debit. That would be Kirk trying to stuff money back into an atm.

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hey take out the money when you buy something almost instantly.

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Charges are usually in pending status for at least a day after you purchase something. So it's the same thing. The bank and/or CC company takes time to process transactions.