Article 38 Additional requirements relating to refunds

(1)

This article applies where a merchant receives a complaint or other communication which amounts to a request for a refund from a consumer in relation to a charge imposed for the provision of a controlled PRS.

(2)

The merchant must inform the consumer, at appropriate intervals, about the status and progress of the consumer’s request for a refund.

(3)

The merchant must provide the consumer with its decision about whether or not a refund will be paid without undue delay.

(4)

A decision under paragraph (3) must contain—

(a)

the reasons for that decision,

(b)

the amount of any refund, and

(c)

the date on which any refund will be paid to the consumer.

(5)

The merchant must pay the refund to the consumer—

(a)

by making the arrangements so that the consumer receives the refund as a credit to the amount of the consumer’s next bill or in such other manner and by such time as the merchant and the consumer may expressly agree, and

(b)

without imposing any charge on the consumer in respect of paying the refund.

(6)

In this article, “bill” has the meaning given in article 23(2).