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Refunds - Bill Pay Loans
Refunds - Bill Pay Loans

What you need to know about full or partial refunds issued by you or your borrower's billing company.

Airion avatar
Written by Airion
Updated over a week ago

Who will receive the refund?

There refund can either be issued to the Borrower or the Lender. The receiver of the refund depends on 1) when the refund was issued by the Billing company and 2) whether or not the first repayment (from Borrower to Lender) has settled.

  • BEFORE the 1st repayment has settled. The Lender will receive 100% of the refund. From there the Lender can then forgive the loan from the mobile app. Either way, the loan will be closed.

  • AFTER the 1st repayment has settled. The Borrower will receive 100% of the refund. From there, the Borrower can either settle the entire loan at once or continue to make repayments on schedule.

It is important to note that each refund is carefully reviewed by the Zirtue Compliance Team. Because of this, refunds are recorded as separate transactions from the loan. There are cases where the loan will remain active even after the refund is issued and settled. In these cases, the Borrower will need to ensure that the Lender is fully repaid.

Here's an example:

  1. John submits a bill pay loan request to Sara.

  2. Sara accepts the request

  3. Sara's payment to the billing company is successful

  4. Note --- The Billing company can issue a refund at any point from here.

  5. John makes the first repayment to Sara. (you rock John!)

  6. The Billing company issues a refund!

  7. In this case, John will receive 100% of the refund.

  8. John is still responsible for ensuring that Sara is repaid in full and that the active loan in Zirtue is successfully repaid and closed.

It is important to note that each refund is carefully reviewed by the Zirtue Compliance Team. Because of this, refunds are recorded as separate transactions from the loan.

Why was there a refund issued?

There are many reasons why a Billing company can issue a refund. Below are just a few.

  • The Borrower has received a grant, loan, or credit from the Billing company.

  • The Borrower's insurance company has adjusted coverage.

  • The Lender has made multiple payments by accident.

  • The Billing company has made a mistake

  • Etc..

Can I request a refund?

No. Refunds can only be issued by the borrower's billing company.

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