I imagine there be a lot of people going into positive balances, in the near future.

[Deleted User]
[Deleted User] Posts: 0 Newbie
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in Credit cards
With the collapse of Monarch, and the cancelling of lots of flights by Ryanair, I'm guessing a great many people will be getting refunds to their Credit Cards.

What happens with these refunds, that take a Credit Card into a positive balance?
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Comments

  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    First Anniversary Photogenic Name Dropper First Post
    You can either spend them off, or request a refund by cheque or transfer.
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    First Anniversary First Post Debt-free and Proud!
    Is it not a breach of the T&C, to be hundred (if not thousands) of pounds in credit?
  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    First Anniversary Photogenic Name Dropper First Post
    Not via an unintentional refund.
  • IAmWales
    IAmWales Posts: 2,024 Forumite
    I have a positive balance at some point every month. If you pay your card off monthly and then get a refund, you're in credit. The banks only have a problem with people doing it intentionally.
  • sue911186
    sue911186 Posts: 4 Newbie
    I ended up with a positive balance recently due to hurricane Irma.

    The one thing I didn't consider was that my credit card was one of my regular direct debits for my Bank of Scotland account so I lost out on the interest this month so be aware for any banks which need direct debits to actually be taken each month and not just active.
  • RichL74
    RichL74 Posts: 938 Forumite
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    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?
  • PeacefulWaters
    PeacefulWaters Posts: 8,495 Forumite
    RichL74 wrote: »
    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?

    Shareholders are bottom of the pile.

    But I think you've missed the point anyway.
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    First Anniversary First Post Debt-free and Proud!
    RichL74 wrote: »
    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?

    Not sure, but even if yes, people making claims against their Credit Card will get the whole amount back, which, if a bulk booking was made, could add up to a considerable refund.
  • eco_warrior
    eco_warrior Posts: 563 Forumite
    Bedsit_Bob wrote: »
    With the collapse of Monarch, and the cancelling of lots of flights by Ryanair, I'm guessing a great many people will be getting refunds to their Credit Cards.

    What happens with these refunds, that take a Credit Card into a positive balance?



    You'll find the fast majority of people receiving these refunds use their cards regularly and so wont be going into a credit balance.


    People who have a CC to use very sparingly are rare in the grand scheme of things.
  • bigadaj
    bigadaj Posts: 11,531 Forumite
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    eco_warrior wrote: »
    You'll find the fast majority of people receiving these refunds use their cards regularly and so wont be going into a credit balance.


    People who have a CC to use very sparingly are rare in the grand scheme of things.

    Depends on how many cards they have and what and how much each is used for.

    The other consideration is that spending down the balance of any credit would mean that you wouldn't be covered for a section 75 claim for that subsequent purchase, there has to be credit involved.
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