Refund to cancelled bank account

SparkOfDeath

Hi there,
I've got a stressful issue with a cancelled hotel from Booking.com.. I purchased a hotel maybe 4 months ago for £200 that came with a totally free cancellation policy. A month or two later I changed bank accounts, it wasn't a switch, I simply opened a new one and closed the old one.

So very recently I found a better hotel for me, I purchased it and hit 'cancel stay' on the original booking. This is where things have been an absolute nightmare henceforth.

First I called Booking.com and warned them that when they go to process the refund, it will be going to a closed bank account, and that it would be easier for everyone involved if I just give them my new details now. They refused and said they can only change the details after it's bounced back.
So a few days later I get an email confirming that the refund has been completed, so I call my old bank and go to trace it up. Thank christ, for no reason at all, I still had the old debit card on me, so I could provide them with all the info relating to my no longer existing account.
After about 10 minutes of "sorry, there's no payment here to be found"... I finally hear a "Oh... um, do you mind if I put you on hold while I get some help".
Turns out Santander found this allusive £200 but it wasn't easily spotted. I was just happy to hear that they found it, and they provided me with a 24 digit ARN code for the transaction.
The lady on the phone told me there will be a cheque in the post for me in a few days.

Great I thought, so I went ahead and gave it a week, and got a little anxious so I gave them another call. This guy tells me that the previous call lady was wrong and there's nothing in the post for me. He tells me I'll be needing to call Booking.com back and ask them to request the payment to return to their own account, and that it won't be a problem for me because a big company like Booking.com gets this sort of thing all the time.

So I called Booking.com back once again and they are more than confused by what my bank has told me, and say their hands are completely tied until the £200 bounces back.

It's currently about 2 weeks on and this £200 hasn't bounced back from my old closed account, NOR will Santander send me a cheque in the post for it.

I'm at a total loss of whether to go shouting at Booking.com, or my old bank Santander to actually help me out.

Thanks for any advice!

Ben8282

I am assuming that the closed Santander bank account is the one that you had blocked as detailed in your other thread. In view of what happened, I am very surprised that you even considered allowing booking.com to make any refund to it. I am guessing that Santander have offset this £200 against the debt that they say you owe them. https://forums.moneysavingexpert.com/discussion/6060710/blocked-account-because-buyer-claimed-unauthorised-payment

Slightly surprised that in such a case as described above the hotel required actual advance payment and not just a credit card number to guarantee the booking to debit in case of no show.
It is a shame that you either didn't try to change your booking to the new hotel with booking.com, that you decided to change to the second hotel 4 months after you booked the first one and didn't consider the likely refund problem before you went ahead and 'hit the cancel stay button'.

Booking.com have acted correctly in making the refund to the debit card used. You say that Santander confirm receiving the funds therefore there is no point in contacting booking.com further as they have made the refund as promised and no longer have your money. You will have to persevere with Santander. Good luck!

afis1904

Why did you not just call booking.com before processing the refund? None of the two sides have done anything wrong

18cc

Normally if you make a payment to a closed or non-existent account the money bounces straight back to the sender. The bank does not intervene in this process manually.

I suspect the £200 is right back where it started from ie booking.com

SparkOfDeath

Thanks for the help and replies. Firstly, I don't believe the bank has kept this £200 to offset what did indeed go on with that account because when it closed, they actually sent me a cheque in the post for the remaining £30 something that was left in my account, so I don't think they're still looking to recover any money from my previous post linked above that was the whole reason why that Santander ended up being closed.

Secondly, about me not contacting Booking.com and warning them about the closed account, please read this part of my original post above

"First I called Booking.com and warned them that when they go to process the refund, it will be going to a closed bank account, and that it would be easier for everyone involved if I just give them my new details now. They refused and said they can only change the details after it's bounced back."

afis1904

It still sounds like you contacted them after you cancelled? Almost all companies process refunds like those automatically so you should've definitely called them to cancel.

born_again

afis1904 wrote: »

It still sounds like you contacted them after you cancelled? Almost all companies process refunds like those automatically so you should've definitely called them to cancel.

OP advised
Either way Booking.com said will not process to a new account....

They need to:
Call Santander again. Give them the ARN ( Don't say who gave it to you) and ask when they will be passing the £200 to you. That should prompt them to say "!Ah as account was closed we have returned to Booking.com" or not.
I would try to get passed front line call center and ask for that deals with closed account credits. If you feel you are not getting anywhere with them then raise it as a complaint.

SparkOfDeath

I actually got through to the security team and said something similar to that. I mentioned that only 1 of 2 things should happen, it should be bounced back, or I should get a cheque in the post, neither of which are happening.
After being on hold for a long time while they see what they can do, they always tell me the same thing, that it's a very rare case and the money shouldn't have done what it's done, as it's actually "nowhere" at the moment.

I find that rubbish as everytime I call up mentioning I'm owed £200 from booking.com, they do indeed find it in the end

Thrugelmir

Might have bounced back already to booking.com. Probably just awaiting investigation and allocation. As there's no doubt many queries that need to be addressed on a daily basis.

born_again

SparkOfDeath wrote: »

they always tell me the same thing, that it's a very rare case and the money shouldn't have done what it's done, as it's actually "nowhere" at the moment.

I find that rubbish as everytime I call up mentioning I'm owed £200 from booking.com, they do indeed find it in the end

Had you used the CASS then this would not have been a issue. Santander are right it is a rare thing, maybe a few a day. And it will take time to find the payment in their internal accounts. As they have to match the details up and it is not always a simple search.
Although if you have already spoken to them they should have notes on the matter. Just the same as they should have a note if it has been returned to Booking.com.

I would give it a week and when you speak to them again. If they can't say exactly where it is you are complaining and want a letter advising where it is.