How Chexy Wallet Handles PAD Payments

The Chexy Wallet operates as a pass-through payment system rather than a stored balance or prepaid account. This means:

Chexy charges your credit card at least 3 business days before the payment due date for the amount entered in Chexy.
The funds are processed within those 3 business days to be ready for withdrawal on the due date.
Once your payee submits a withdrawal request that matches the charged amount, we release the funds to them.

Funds are not held within Chexy Wallet and cannot be stored, retained, or reapplied for future payments.

Handling Unprocessed PAD Withdrawals

If a PAD withdrawal does not occur as scheduled, contact Chexy Support to request a refund. Note that refunds are issued without the applicable processing fees.

Early Payee Withdrawals

If a PAD request is made by the payee before your card is charged by Chexy:

Chexy will accept the PAD request temporarily to ensure the payment is processed without delays, avoiding potential late fees or penalties from the payee.
You will be notified via your Chexy account and email with resolution steps. Chexy will then charge your designated funding source and finalize the withdrawal.

Unwithdrawn Payments by the Payee

If the payee fails to withdraw the payment amount:

Confirm with your payee on the status of withdrawal.
If no withdrawal will be made, you can request a refund (see the refund section below).

Excess PAD Deposits

If you receive a positive PAD deposit into your Chexy Wallet that exceeds your recurring payment amount, deposits currently cannot be used for future payments. Contact Chexy Support for next steps.

Do PAD Discrepancies Cause Payment Delays?

No. Your payment will not be delayed due to a PAD discrepancy as long as the payment status has been marked as "accepted." Chexy ensures that, from the payee's perspective, the payment is processed on time — even while the discrepancy is being investigated internally.

This applies to any PAD-related issues, including mismatched names, payment amounts, or due dates. During this time, your PAD payment may appear as PAD in review, which simply means Chexy is verifying the details before finalizing the transfer.

Common Discrepancies

Payee name mismatches
Payment amount mismatches (a difference between the PAD amount entered in Chexy and the amount requested by the payee)

These investigations do not impact the payee's ability to access funds.

Steps to Take When a Discrepancy Is Identified

Contact Chexy for clarification: Review the payee, PAD amount, and any unexplained PAD request via Chexy Support or your account portal.
Approve or resolve the request: Let Chexy know if you approve the PAD request or if you plan to address the discrepancy directly with the payee.

Once you approve the resolution, Chexy will process the payment accordingly and clear the PAD in review status. Chexy typically resolves discrepancies within 4 business days.

Managing & Preventing Duplicate Payments

Duplicate payments may occur if both Bill Pay and PAD are set up for the same payee and amount. For instance, a payment could be made via Bill Pay in Chexy while the payee also initiates a PAD request.

Bill Pay: Payments are processed directly to the payee's billing account and are final, non-adjustable, and non-refundable.
PAD (Pre-Authorized Debit): Your banking details are shared with the payee, enabling them to debit your account for an agreed amount.

Resolving Duplicate Payment Issues

Request PAD Rejection: If you already paid via Bill Pay or outside of Chexy, confirm with Chexy Support that you want the duplicate PAD request rejected (staged for return).
Notify Your Payee: Inform your payee that payments should only be expected through your chosen delivery method to avoid further duplicate requests.
Track Payments Effectively: Provide your payee with EDI (Electronic Data Interchange) control numbers, the payment date, and the amount. Contact Chexy Support for these details.

Preventing Duplicate Payments

Choose a single delivery method: Decide whether you will use Bill Pay or PAD and cancel the alternative with your payee.
Communicate preferences to your payee: Clearly inform your payee of your preferred method and ensure they adhere to it to prevent overlaps.

If this is for a recurring payment, ensure your recurring payments are correctly set up through your preferred payout method.

How to Request a Refund on an Unwithdrawn PAD

If your recipient hasn't withdrawn the funds from your Chexy Wallet and you'd like to request a refund, you can do so through your Chexy dashboard as long as it's at least 3 business days past your due date.

Once that time has passed, follow these steps: