AS always refund their refundable ticket through credit card in 3 business days. I don't see why things would take longer than a full week to process.

If it is refundable, then it means that I can take my money back if I cancel, then whatever process time they need should be their burden. They have taken the money already, so they could give it back first without shelling out anything from their reserve (if there is one), and process the paperwork at their leisure. That's the right way of doing business.

This has nothing to do with cost saving, this is about efficiency.