In case a SDD transaction is deemed unauthorized by the debtor and disputed (between D + 8 Weeks and D + 13 Months for a Core SDD, between D and D + 13 Months for a B2B SDD/D = Direct Debit due date/business day), the debtor bank sends the creditor bank an official request, that we send you by email.
You then have 5 business days after reception of the request from Lemon Way to provide us, if you wish to dispute the debtor return request, with the requested information (ex: signed mandate) as well as any document that may help support your case.
Once transmitted by Lemon Way to the debtor bank (through the creditor bank), the documents are analyzed by the debtor bank in order to finalize the dispute (max 30 days following return request reception date by debtor), with two possible outcomes:
• Accept the debtor dispute request
• Reject the debtor dispute request; the disagreement then needs to be resolved between the debtor and the creditor
When the debtor bank accepts the debtor return request, it then issues a request for refund to the creditor bank.
Once received, the creditor bank instantly debits Lemon Way bank account (which then processes the return transaction on your Enterprise environment) and transmits the funds to the debtor bank.
If you still disagree with the refund to the debtor, we invite you to contact the debtor to try to resolve the dispute with him/her.