Reply in writing today saying a cash refund is required and ask for a clear deadline for payment. If nothing is done, the voucher often sits on the account until it expires or becomes harder to unwind after the business closes the case. Keep the message simple, attach proof of payment and cancellation, and avoid accepting any “voucher-only” wording. If the business still refuses, move to the official dispute route for the payment method used.
What the problem is
A voucher issued instead of a refund usually shows up after a cancellation, a service that did not happen, or a return that has been accepted but not paid back. In the UK it commonly affects airline passengers, package holiday customers, event ticket buyers, and online shoppers, especially when the original payment was by card and the business is trying to keep cash in the business. It often appears after a first complaint has been logged and a partial response arrives offering “credit”, “store balance”, or “future travel voucher” as the only option. It can also appear after a deadline has passed, when the business sends an automated email saying the refund has been “processed” but the only thing provided is a voucher code.
This tends to be most frustrating when the customer has already made alternative arrangements or needs the money back for essentials, because the voucher is not the same as a refund and may come with restrictions. The issue is rarely about whether the purchase happened; it is usually about the business trying to change the remedy after the fact. The practical problem is getting the business to switch from a credit note to a cash refund without accidentally agreeing to the voucher terms.
Why this happens
Businesses issue vouchers because it protects cashflow, reduces immediate outgoings, and keeps the customer tied to the company. Customer service scripts often treat vouchers as the default “resolution” because it is faster to issue and avoids a finance team approval step. Some systems are set up so that frontline staff can only generate credit, while refunds require a separate workflow and manager sign-off.
Where demand is high or cancellations are widespread, voucher issuing can become a standard operational shortcut: it clears the queue and reduces the number of refund transactions hitting the accounts team. A common pattern is that the first response offers a voucher as “policy”, and only after a firm written refusal does the business check whether a refund is actually due.
Another driver is that some businesses rely on customers missing the small window to reject the voucher, or assume that using the voucher even once will be treated as acceptance. That is why the timing and wording of the response matters: a quick, clear rejection prevents the company from later claiming the matter is settled.
Your rights in practice
In UK disputes, the strongest leverage usually comes from keeping the request narrow and tied to the original payment: a refund back to the same method, not credit. A voucher can be acceptable only if it is genuinely optional and the customer freely chooses it; when it is presented as the only route, it is often challengeable. The practical position improves when there is clear evidence that the service was cancelled, not provided, or the return was accepted, because that removes arguments about “change of mind” or “non-refundable” terms.
What tends to work is a short written statement that the voucher is not accepted, that any voucher already issued should be cancelled, and that a refund is required within a set timeframe. Keeping everything in writing matters because phone calls often end with vague assurances and no audit trail. If the business continues to stall, shifting the pressure to the payment method dispute route is often more effective than repeated customer service chasing, because it forces the business to respond to a structured process.
Official basis used
For most UK purchases paid by card, the practical official route is a card chargeback through the card provider. Chargeback is a scheme process used by banks and card networks that can reverse a transaction where goods or services were not provided, were cancelled, or a refund was due but not given. In practice, the bank will ask for evidence that the business was contacted, what was promised, and what was actually provided (such as a voucher instead of money). The bank then raises the dispute and the merchant has a limited window to challenge it; if the merchant cannot show that a voucher was agreed as the remedy, the dispute often resolves in the customer’s favour.
Chargeback is started through the card provider’s own dispute channel, usually inside online banking or by calling the disputes team, and the bank will explain what they need to open the case. A clear, practical overview of how to start a chargeback and what evidence is typically required is available on GOV.UK guidance.
Evidence that matters
The goal is to show three things: the payment, the failure to provide what was paid for (or the cancellation/return acceptance), and the refusal to refund in money. Evidence does not need to be perfect, but it should be consistent and dated. Screenshots are fine if they show the URL or app header and the date, and emails should be kept in full rather than copied into a new message.
Collect the order confirmation, the cancellation or return confirmation, and the voucher email or account screenshot showing the voucher was issued. Keep a copy of the complaint where the refund was requested, and any reply that says “voucher only” or implies that using the voucher is the next step. If a phone call happened, note the date, time, and what was said, but do not rely on a phone note alone if there is no written follow-up.
One thing not to do yet is spend or partially use the voucher, because that is commonly treated as acceptance and can complicate a dispute.
Quick checklist
- Proof of payment (card statement line or receipt)
- Proof of cancellation, non-delivery, or return acceptance
- Voucher issue evidence (email or account screenshot)
- Written request for refund and the business response
Common mistakes
Three mistakes show up repeatedly in UK cases: accepting revised terms in a live chat that says the voucher is “full and final”, using the voucher for a small purchase “just to test it”, and waiting too long because the business keeps promising the refund is “with finance”.
What to do next
Send refusal
Send a short written message (email or the business’s complaint form) stating that the voucher is not accepted and a refund to the original payment method is required. Ask for confirmation that the voucher will be cancelled and request a payment date. Keep the wording factual and avoid debating policy; the key is that the remedy offered is not agreed.
Use official process
If the business has an online complaints portal, use it rather than social media messages, and keep a copy of the submission confirmation. Where the business provides a “refund request” page, use that official route and attach the evidence already collected; do not create new accounts or submit multiple tickets, because that often resets the queue. Prepare the order reference, payment date and amount, cancellation/return confirmation, and the voucher details so the complaint can be matched quickly.
Set a deadline
Give a clear deadline for the refund to be paid, and state that if it is not received by then, the dispute will be raised with the card provider. In UK customer service workflows, a firm deadline often triggers escalation to a finance or resolutions team rather than another scripted reply. A typical real UK outcome is that the business switches to a refund once the payment dispute route is mentioned clearly and calmly.
Escalate properly
If there is no meaningful response within 14 days, or the reply repeats “voucher only”, start a chargeback with the card provider using their official disputes channel (usually in-app under “dispute a transaction” or by calling the disputes team). Provide the timeline and attach the key documents, and explain that a voucher was issued instead of the refund requested. If the purchase was an airline booking and the delay is being framed as “processing”, the decision point is whether the business is actually refusing a cash refund; where it is, the steps used for Airline refund delayed apply because the dispute is about money not being returned.
Change approach
If the business offers a refund only if the voucher is “returned” or “voided”, ask them to confirm in writing that the voucher will be cancelled without any fee and that the refund will be paid to the original method. If the business insists on conditions that were not part of the original purchase, keep the focus on the refund outcome and move ahead with the card dispute rather than negotiating new terms.
In many UK cases the issue is resolved when the chargeback is opened and the merchant is required to respond through the scheme process, rather than through frontline customer service.
What to prepare
- Merchant name as it appears on the statement
- Transaction date and amount
- Cancellation/return confirmation and dates
- Voucher evidence and the refusal message
The normal timeframe for an initial response from a card provider after opening a dispute is a few weeks, but it can be faster where evidence is clear and the merchant does not contest it. If the bank asks for more information, respond promptly and keep the submission consistent with what was already sent to the business.
Related issues on this site
If the business has explicitly said “no refund” rather than offering a voucher, the situation is closer to Refund refused by company and the wording of the complaint and escalation route may need tightening. If a refund has been agreed but nothing arrives, the next steps are different again because the dispute becomes about non-payment rather than entitlement, and the evidence should focus on the promise to pay and the missed date.
FAQ
Voucher acceptance risk
Using a voucher after a refund dispute often counts as accepting the voucher as settlement. Keep the voucher unused until the cash refund position is confirmed in writing.
Partial voucher use
Partial voucher use after cancellation can make a card dispute harder because it looks like the remedy was taken. If it has already been used, keep records showing it was used under protest and continue to request the remaining cash refund.
Bank dispute timing
Bank dispute timing for voucher instead of refund is usually better when raised soon after the refusal is clear. If the business keeps delaying, treat the voucher email or “voucher only” message as the point the dispute became necessary.
Refund to card
Refund to card after voucher issue is normally possible if the voucher is cancelled and the finance team processes the original transaction reversal. Ask for a written confirmation of the refund amount and the date it will be sent.
Before you move on
Save a single folder with the payment proof, cancellation/return confirmation, and the message rejecting the voucher, then set one deadline before switching to the card provider dispute route. Time pressure can show up as being pushed to accept quickly because the voucher is described as “limited time” or “the only option”.
Get help with the next step
Contact UKFixGuide — If a voucher has been issued and the business is refusing a cash refund, bring the dates and the exact wording of their refusal so the escalation route can be chosen cleanly.
