Worldpay has introduced near-instant refunds via Mastercard and Visa to eliminate ‘headaches’ for merchants and consumers in the UK.
This service allows most UK shoppers using Mastercard and Visa to receive near-instant refunds for eligible online returns at participating retailers, such as HMV.
John McNaught, Head of Payouts at Worldpay, stated: “Studies show that up to 30% of all e-commerce purchases end in a return or exchange. Offering a faster refund experience means merchants can create better customer interactions. For example, it could potentially reduce calls to customer service to track funds.
“Put plainly, refunds are a headache for consumers and merchants alike. Worldpay is taking the pain out of the process by making refunds nearly instant.”
Worldpay has highlighted that, under traditional systems, refunds often take days to process, despite 40% of consumers expecting them within 24 hours. With its new service, refunds can now be completed in minutes, aiming to help retailers improve customer satisfaction and retention, as well as reduce refund-related queries.
Alan Marquard, Head of Transfer Solutions at Mastercard, commented: “UK consumers can pay for goods and services instantly, however, refunds have not kept pace with that level of immediacy.
“Leveraging Mastercard Move’s money movement capabilities, we are supporting Worldpay to increase the speed of refunds to some of the UK’s most well-known brands, giving shoppers greater peace of mind and helping retailers offer a first-rate service.”
In addition to using Mastercard’s Move, a set of tools for fast, secure and transparent cross-border payments, Worldpay also receives support from Visa, positioning it to maximise coverage for both consumers and merchants.
Anastasia Serikova, VP of Revenue and Growth at Visa Direct EU, said: “As leaders in card issuance, it is our responsibility to work across the entire ecosystem to drive innovation and change, which is why we’re excited to be working with Worldpay to improve on refunds for consumers.
“Consumers want their money to move faster – whether that’s when sending or receiving funds – together we’re delivering a positive change in how refunds are done.”
Earlier this month, Worldpay partnered with Mastercard to enhance the efficiency of travel supplier payouts and provide tailored solutions for travel agents. Through this partnership, Worldpay will use the Mastercard Wholesale Programme to offer virtual cards, simplifying payment processes for clients in the UK and Europe.
