Returned or delayed international payments: trace the transfer before sending again

An overseas supplier saying "we have not received the money" does not automatically mean the payment failed. It can still be in transit, waiting for compliance review, held by an intermediary, credited under an unexpected reference or already on its way back. Trace the original transfer before sending a replacement.

A delayed transfer, a rejected transfer and a returned transfer are different states

The Financial Ombudsman says common international-transfer complaints include money not arriving, money arriving late and unsuccessful attempts to cancel or recall a transfer. Start by asking the sending bank what status it sees rather than using the supplier's non-receipt as the only evidence.

A delayed payment may still be progressing through correspondent or beneficiary-bank checks. A rejected payment can be stopped before crediting because the destination bank will not accept it. A returned payment has been sent back toward the originator after rejection or another issue. Each status requires a different next action.

Collect the payment confirmation, value date, currency and routing details

Save the sending-account statement, payment confirmation, amount, currency, beneficiary name, IBAN or account number, BIC/SWIFT code and any transaction reference. Ask the supplier to confirm the exact destination details they expected and whether their bank has searched for the transaction.

Do not edit the original evidence to match what the supplier now says. If the business sent EUR 50,000 to IBAN A on 2 October but the supplier says IBAN B should have been used, that difference is the core fact. Finance needs to know whether the payment followed an incorrect instruction, an old account or a valid account that the beneficiary bank is still processing.

Routing details are only one possible cause of delay or return

Incomplete or incorrect account details can cause repair or rejection. A payment can also be held for sanctions, anti-money-laundering or fraud checks, or rejected because the destination account is closed, the currency is not supported or the beneficiary bank cannot apply the funds under its rules.

International payments can also use intermediary banks, which can introduce additional processing steps and charges. The Financial Ombudsman notes complaints about charges, exchange rates and non-arrival as well as timing. Avoid promising the supplier that the money will arrive on a specific day unless the provider has confirmed the expected route and status.

Ask the sending provider to investigate using the transaction reference

Contact the bank or payment specialist through an official channel and provide the full payment reference. Ask whether the payment has been credited, is waiting for repair, is held for review or has been returned. Where the provider uses SWIFT messaging, it can communicate with other institutions in the payment chain to investigate the transfer.

Keep the bank's case number and each update. If the business later needs to complain, the Financial Ombudsman says it may consider payment instructions, terms, provider records and evidence from third parties when reviewing international-transfer disputes. A clean chronology makes the case easier to assess.

A returned international payment may come back for less than the original debit

If the transfer was converted into another currency or intermediary and receiving-bank charges were deducted, the amount credited back can differ from the amount originally debited. Exchange-rate movement can also affect the sterling value where the return involves a fresh conversion.

Reconcile the original payment, any outgoing fee, return credit, return charges and FX difference separately. Do not book the gap automatically as a supplier expense. The finance team should know whether the shortfall came from bank charges, conversion or an amount retained elsewhere in the payment chain.

Do not send a second payment until the business understands the first one

A supplier under cash pressure can ask the business to "send it again and sort out the first transfer later". That can produce a double payment if the original transfer is only delayed. Before sending again, obtain a clear status from the bank and senior approval for any replacement transfer.

If a second payment is commercially unavoidable, record it as an exception and continue tracing the first. Use the same verified beneficiary details only if those details have been independently reconfirmed. The worst response to a delayed payment is to combine urgency with new unverified bank details.

Also decide in advance who can authorise a replacement payment. A treasury or finance director should normally approve a second material transfer where the first remains unresolved. That prevents accounts-payable staff from solving supplier pressure by doubling the company's exposure without management seeing the risk.