sun156
TF Premier
So here's what’s going on in AMAZON PAY WALLET WHEN USED FOR UPI PAYMENTS — that offers UPI services by taking PPI licence from NPCI . Everything seems fine… until you face a failed UPI transaction. Now, as per NPCI and RBI guidelines, if a UPI transaction fails, your money should be refunded back to the exact source — like your bank account, wallet, or card, depending on how you paid.
But what is AMAZON PAY is doing? This is the shocking part.
Every time a UPI payment fails on their app who uses AMAZON PAY WALLET( PPI ) Amount, instead of getting your money back into your original Amazon pay wallet account, they’re crediting it to their own gift card system inside the app.
Yes, you heard that right. The money doesn't come back to your wallet — it gets converted into a non-withdraw-able gift card balance. And guess what? You can only use that balance for purchases inside their app. No refunds. No transfers. Nothing.
And this isn't a one-time bug. This has been happening for over three years now. Hundreds — maybe thousands — of users might have lost their rightful refunds and don’t even know it. This is not just bad business practice — this violates regulatory norms laid down by authorities like NPCI and RBI. I seen several users commenting this same problem in Twitter and several Handles . Recently My friend Faced , 3 times I faced the same Problem
This isn't just about one app. If companies start doing this unchecked, they’re basically locking your money into their ecosystem — forcing you to spend on things you may not even want.That’s not how digital payments are supposed to work. You have a right to a full refund to your original payment source when a transaction fails.
If this has happened to you, don’t stay silent. File a complaint with
AS per RBI CIRCULAR ON " Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions using authorized Payment Systems " dated September 20, 2019 , we can get penalty of 100/- per day if they crosses T+1 days ( Refer RBI/2019-20/67 DPSS.CO.PD No.629/02.01.014/2019-20 ) .
As per clause 6- The term bank includes non-banks also and applies to them wherever they are authorised to operate.
@TechnoFino @SSV @Vasuki @Batmanbaba @Abhishek012 @as33 @Tejo @Chaitanya-a
But what is AMAZON PAY is doing? This is the shocking part.
Every time a UPI payment fails on their app who uses AMAZON PAY WALLET( PPI ) Amount, instead of getting your money back into your original Amazon pay wallet account, they’re crediting it to their own gift card system inside the app.
Yes, you heard that right. The money doesn't come back to your wallet — it gets converted into a non-withdraw-able gift card balance. And guess what? You can only use that balance for purchases inside their app. No refunds. No transfers. Nothing.
And this isn't a one-time bug. This has been happening for over three years now. Hundreds — maybe thousands — of users might have lost their rightful refunds and don’t even know it. This is not just bad business practice — this violates regulatory norms laid down by authorities like NPCI and RBI. I seen several users commenting this same problem in Twitter and several Handles . Recently My friend Faced , 3 times I faced the same Problem
This isn't just about one app. If companies start doing this unchecked, they’re basically locking your money into their ecosystem — forcing you to spend on things you may not even want.That’s not how digital payments are supposed to work. You have a right to a full refund to your original payment source when a transaction fails.
If this has happened to you, don’t stay silent. File a complaint with
- NPCI (npci.org.in)
- RBI Ombudsman
- Or raise a grievance in the Consumer Court or National Consumer Helpline."
AS per RBI CIRCULAR ON " Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions using authorized Payment Systems " dated September 20, 2019 , we can get penalty of 100/- per day if they crosses T+1 days ( Refer RBI/2019-20/67 DPSS.CO.PD No.629/02.01.014/2019-20 ) .
As per clause 6- The term bank includes non-banks also and applies to them wherever they are authorised to operate.
| Unified Payments Interface (UPI) | ||
| Account debited but the beneficiary account is not credited (transfer of funds). | If unable to credit the beneficiary account, auto reversal (R) by the Beneficiary bank latest on T + 1 day. | ₹100/- per day if delay is beyond T + 1 day. |
| Account debited but transaction confirmation not received at merchant location (payment to merchant). | Auto-reversal within T + 5 days. | ₹100/- per day if delay is beyond T + 5 days. |
| Prepaid Payment Instruments (PPIs) – Cards / Wallets | ||
| Off-Us transaction The transaction will ride on UPI, card network, IMPS, etc., as the case may be. The TAT and compensation rule of respective system shall apply. | ||
| On-Us transaction Beneficiary’s PPI not credited. PPI debited but transaction confirmation not received at merchant location. | Reversal effected in Remitter’s account within T + 1 day. | ₹100/- per day if delay is beyond T + 1 day. |
@TechnoFino @SSV @Vasuki @Batmanbaba @Abhishek012 @as33 @Tejo @Chaitanya-a
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