Originally Posted by
walterj
eglantine who was doing mailers, had all her cards closed because of a refund to a closed card, reported a few weeks back. Ironically it was on an award ticket refund. I think avoiding any spend which could possibly be refunded, eg normal spending and just sticking to GCs and perhaps taxes is the best practice..
You may want to read more carefully - He called to have the refund processed once the refund was issued by AA instead of waiting for the refund being processed AUTOMATICALLY.
If you read the posts after he reported the shutdown, there are several posters told him he should just wait a few weeks and then the check would come and nobody would lay eyes on his cards.
Of course the better precaution is to NOT use the would be closed cards for anything that has even a remote chance of a refund.
Actually I would not use it for tax payments precisely if there is any hiccup down the road and you need the trace back on how the taxes were paid or whatever, it would be a nightmare should the payment card has long been closed.
But the reality is, refunds to closed cards would be processed automatically without cardholders calling to get back the money. A check would be sent to the address on file when the refund was sitting there for 2 billing cycles, even on closed cards. Had this happened with Chase and Barclays. I doubt Citi would be different because this seems to be a government regulation.