KUBE PAY
Settlement and Refund Policy
Kube Finance Limited
Version 1.0 | Last updated: March 2025 | Effective date: March 2025
1. How Open Banking Payments Work
Kube Pay is an open banking payment platform. When a payer authorises a payment through Kube Pay, the payment instruction is submitted directly to the payer’s bank (ASPSP) via the regulated open banking API infrastructure operated under the authorisation of Wonderful Payments Ltd (trading as Asima), FCA No. 964289.
Unlike card payments, open banking payments are account-to-account bank transfers processed through the Faster Payments Service (FPS). This means:
Funds move directly from the payer’s bank account to the Merchant’s nominated bank account
Kube Pay does not hold, pool, or intermediate funds at any point
There is no acquiring bank, card network, or intermediary involved in the payment flow
There is no chargeback mechanism — open banking payments cannot be reversed by Kube Pay once the Payer’s bank has accepted the payment instruction
2. Settlement Timelines
Because payments flow directly to the Merchant’s nominated bank account, settlement does not depend on Kube Pay’s processing schedule. Settlement is governed by the Faster Payments Service and the Payer’s bank.
| Scenario | Typical Settlement Time | Notes |
|---|---|---|
| Standard Faster Payment | Seconds to 2 hours | Most UK bank-to-bank transfers settle in real time or within minutes during bank operating hours |
| Out-of-hours / weekend payments | Seconds to overnight | Most banks process Faster Payments 24/7, but some older bank systems may batch overnight or at weekends |
| Payment pending authorisation | Not settled until authorised | Funds do not move until the Payer completes authentication at their bank |
| Payment failed or declined | No settlement | If the Payer’s bank declines the instruction, no funds are transferred and no Transaction Fee is charged |
Kube Pay has no ability to hold, delay, or release settlement. If you have not received a payment that the Kube Pay dashboard shows as completed, please first check with your bank before contacting us.
3. Payment Statuses
Each Payment Order in your Kube Pay dashboard will show one of the following statuses:
| Status | Meaning |
|---|---|
| Pending | Payment link or QR code has been generated. The Payer has not yet initiated or completed authorisation. |
| Authorised | The Payer has approved the payment at their bank. The instruction has been submitted to the ASPSP. |
| Completed | The Payer’s bank has confirmed acceptance of the payment instruction. Funds should be in transit or received. |
| Failed | The payment was not completed. This may be due to the Payer declining, a bank error, or a technical issue. No charge applies. |
| Expired | The payment link or QR code expired before the Payer completed authorisation. A new payment request must be generated. |
| Cancelled | The payment was cancelled before completion. |
4. Failed Payments
A payment may fail for a number of reasons, including:
The Payer declining to authorise the payment at their bank
Insufficient funds in the Payer’s account
The Payer’s bank rejecting the payment instruction (e.g. daily limit exceeded, account restricted)
A technical error during the bank redirect or authorisation process
The Payer abandoning the payment journey before completing authentication
No Transaction Fee is charged for failed payments. If you believe a payment has failed in error (e.g. the Payer confirms they approved it but the status shows failed), please contact us at support@kubepay.co.uk with the Payment Order reference and we will investigate.
5. Refunds
5.1 No Chargeback Mechanism
Open banking payments are irrevocable once the Payer’s bank has accepted the payment instruction. There is no chargeback mechanism equivalent to card payments. This is a fundamental feature of account-to-account bank transfers under the Faster Payments Service.
Merchants should ensure their customers understand this before using Kube Pay as a payment method for goods or services where disputes are likely.
5.2 Merchant-Initiated Refunds
If you wish to refund a customer, you must do so as a separate outbound bank transfer directly from your own bank account to the customer. Kube Pay does not facilitate, manage, or initiate refund payments on your behalf.
We recommend that Merchants keep clear records of any refunds issued, as these are independent commercial transactions not processed through the Kube Pay platform.
5.3 Unauthorised Payment Claims
If a Payer believes a payment was made without their authorisation (i.e. their account was compromised), they should contact their own bank in the first instance. Under the Payment Services Regulations 2017, the Payer’s bank (ASPSP) is the primary point of contact for claims of unauthorised transactions.
If the claim relates to the payment initiation process itself, the Payer may also contact Kube Pay at support@kubepay.co.uk or Wonderful Payments Ltd (Asima) at compliance@wonderful.co.uk. Claims of this nature will be investigated in line with our Complaints Policy and PSR 2017 obligations.
6. Transaction Fee Billing
Transaction Fees are charged only on successfully completed Payment Orders (status: Completed). Fees will appear in your monthly Kube Pay statement, accessible via your merchant dashboard.
If you believe a Transaction Fee has been incorrectly charged, please raise a query within 30 days of the statement date by contacting billing@kubepay.co.uk with the relevant Payment Order reference.
7. Nominated Bank Account
You are responsible for ensuring that the bank account nominated in your Kube Pay merchant settings is accurate and belongs to your business. Payments made to an incorrectly nominated account cannot be recalled by Kube Pay.
If you need to change your nominated bank account, please contact us at support@kubepay.co.uk. Bank account changes may require re-verification for fraud prevention purposes. A change of nominated account will take effect only once verified.
Legal Notice
This Settlement and Refund Policy is provided for informational purposes. Kube Finance Limited is an agent of Wonderful Payments Ltd (trading as Asima), FCA Registration Number 964289. Payment services are regulated under the Payment Services Regulations 2017.