Are failed BBPS transactions automatically refunded?

BBPS or Bharat Bill Payment System enables customers to pay their utility, telecom, insurance, loan EMIs and other bills through various channels such as mobile apps, websites, or physical outlets.

When a BBPS transaction fails, the refund process depends on the reason for failure:

Payment Gateway or  Technical Issues

Suppose the transaction fails due to a technical glitch or error from the bank or payment gateway. In that case, the amount is automatically reversed and credited back to your account, typically within 5-7 working days. You may not need to take any action.

Insufficient Funds

• If the transaction fails due to insufficient balance in your bank account, there is no debit.
• Once you have an adequate balance in your account, you must initiate a fresh payment to ensure the bill is paid and avoid late fees or penalties.
  Incorrect Details Entered
• In case of incorrect details entry, such as an invalid account number or wrong IFSC code, the refund depends upon the policies of individual billers and banks.
• You may have to contact your bank or the biller's customer care. Some  billers may automatically process refunds within 7 to 14 working days if they are unable to reconcile the payment, while others may not provide automatic refunds.

So, auto-refunds of failed BBPS transactions depend on the reason and policies of the respective banks and billers. Check with your bank or biller if the refund is delayed beyond 2 weeks.