Iberia Airlines - Refund Approved But Cant Pay

[aggitated]

I just checked my US Wise account and it has a Swift number

Yes which is why they say they can't pay this way. The Eu has a local bank which they can pay into and they said they have started the payment process. I am still waiting. It's now been a week since they have been provided account details they will accept.

 

[dajop]

Yes which is why they say they can't pay this way.

But if they take US domestic bank transfers as they originally advised, they can pay without Swift code - it is superfluous/unnecessary information (not needed for US-US transfer) that caused them to say no. If you'd gone back to them with just the ACH and account number they probably could have paid it out. But in any event, didn't matter, as EU IBAN is also fine (as long as you didn't give them the Swift code associated with that account ). It's confusing !

 

[Mattg]

But if they take US domestic bank transfers as they originally advised, they can pay without Swift code - it is superfluous/unnecessary information (not needed for US-US transfer) that caused them to say no. If you'd gone back to them with just the ACH and account number they probably could have paid it out. But in any event, didn't matter, as EU IBAN is also fine (as long as you didn't give them the Swift code associated with that account ). It's confusing !

I don’t think Iberia has any intention of ever paying. That’s the issue.

 

[dajop]

I don’t think Iberia has any intention of ever paying. That’s the issue.

Sounds very much like it. Seems to be very common with Iberia. Shame they can't follow the lead of their sister Spanish IAG subsidiary, Vueling, which seems much better with prompt payment (or was for us anyway in both essential items and EU261 claims).

 

[aggitated]

But if they take US domestic bank transfers as they originally advised, they can pay without Swift code - it is superfluous/unnecessary information (not needed for US-US transfer) that caused them to say no. If you'd gone back to them with just the ACH and account number they probably could have paid it out. But in any event, didn't matter, as EU IBAN is also fine (as long as you didn't give them the Swift code associated with that account ). It's confusing !

What is ACH? Btw. Money still not received.

 

[VPS]

What is ACH? Btw. Money still not received.

Automatic clearing house

 

[justinbrett]

But if they take US domestic bank transfers as they originally advised, they can pay without Swift code - it is superfluous/unnecessary information (not needed for US-US transfer) that caused them to say no. If you'd gone back to them with just the ACH and account number they probably could have paid it out. But in any event, didn't matter, as EU IBAN is also fine (as long as you didn't give them the Swift code associated with that account ). It's confusing !

As I posted above, AS would only deposit funds to a US debit card, using the card number (similar to how our AusPost banking works).

Anyone else gets a virtual prepaid visa card.

 

[dajop]

As I posted above, AS would only deposit funds to a US debit card, using the card number (similar to how our AusPost banking works).

Anyone else gets a virtual prepaid visa card.

But neither I or the OP were taking about AS. My reference to "they" was not to AS. It was to IB, which is the topic of this thread. AS and IB almost certainly have different processes - just because AS only choose to refund to a debit card doesn't mean refunding to a bank account is impossible.

Specifically, OP said "They will only pay in US dollar. Ok, no problem. I provide details of an account within my Wise/Revolute with a US account jar. Not good enough. Must be an actual US bank account. They cannot refund to an Swift account". I was just pointing out the providing the Swift number made them assume it was a Swift transfer. The Wise account is a US bank account, and ACH routing number (like our BSB) + account number would have probably been OK for paying to a US bank account.

 

[dajop]

What is ACH? Btw. Money still not received.

Abbreviation already spelled out by @VPS. It functions like our BSB. My wise account has three types of identification, an Account number, a Routing Number (for Wire and ACH) and Swift/BIC number. The ACH number = Routing Number. The account also shows Routing number is "Only used for domestic transfers" and Swift/BIC "Only used for international Swift transfers". You only need either the Routing/ACH number or the Swift number depending on the source of the funds.

Not that different to Australia, for example NAB has a Swift Code of NATAAU3302S (for NSW/ACT), if transferring from overseas you would use this and account number. If a domestic transfer, obviously you wouldn't and in fact couldn't use the SWIFT code, you'd just use the BSB number.

 

[justinbrett]

But neither I or the OP were taking about AS. My reference to "they" was not to AS. It was to IB, which is the topic of this thread. AS and IB almost certainly have different processes - just because AS only choose to refund to a debit card doesn't mean refunding to a bank account is impossible.

Specifically, OP said "They will only pay in US dollar. Ok, no problem. I provide details of an account within my Wise/Revolute with a US account jar. Not good enough. Must be an actual US bank account. They cannot refund to an Swift account". I was just pointing out the providing the Swift number made them assume it was a Swift transfer. The Wise account is a US bank account, and ACH routing number (like our BSB) + account number would have probably been OK for paying to a US bank account.

And I was just pointing out that just because they pay to US bank accounts doesn’t mean you can pay to wise.

In my case with AS it wasn’t a refund, I was on a QF ticket, it was reimbursement for hotels due to misconnection. So it was a proactive transfer of funds rather than refunding an existing transaction- which is why I felt it was relevant to the discussion.

 

[dajop]

And I was just pointing out that just because they pay to US bank accounts doesn’t mean you can pay to wise.

But you said they only pay out to US issued debit cards, that is different to paying out to US bank account. Two different mechanisms of payment, one obviously easier than others.

Wise has a US bank account set up for account holders via with all the parameters of a US bank account, accessible electronically (not for cheque or cash deposits though). If it is a bank transfer from their account to direct to another US bank account, that should be entirely possible with Wise (as long as you don't confuse them with a Swift code that makes them think it is an international transfer).

If there only mechanism is transfer to a US debit card (rather than direct transfer), then no it wouldn't be possible as the Wise debit card is, AFAIK, attached to your country of residence. But OP never mentioned payout to debit card.

 

[justinbrett]

But you said they only pay out to US issued debit cards, that is different to paying out to US bank account. Two different mechanisms of payment, one obviously easier than others.

Wise has a US bank account set up for account holders via with all the parameters of a US bank account, accessible electronically (not for cheque or cash deposits though). If it is a bank transfer from their account to direct to another US bank account, that should be entirely possible with Wise (as long as you don't confuse them with a Swift code that makes them think it is an international transfer).

If there only mechanism is transfer to a US debit card (rather than direct transfer), then no it wouldn't be possible as the Wise debit card is, AFAIK, attached to your country of residence. But OP never mentioned payout to debit card.

You’re just arguing semantics. Cash isn’t stored on a debit card, it’s a bank account. The card is just a means to transfer funds to the account.

I don’t know how Iberia do it, but if an airline advertises they can deposit funds to a US back account it’s within the realms of possibility it will be done via a debit card number.

AS don’t handle it themselves, it’s handled by a third party platform that serves multiple airlines.

 

[Aeryn]

IMO if an airline allows you to purchase your ticket from a non EU/US issued CC or bank account then there is no valid reason why they cant refund to that same payment method.

 

[justinbrett]

IMO if an airline allows you to purchase your ticket from a non EU/US issued CC or bank account then there is no valid reason why they cant refund to that same payment method.

Yes and that’s usually the case, however this thread is actually about a lost luggage claim so despite the title is not actually a refund.

 

[dajop]

I don’t know how Iberia do it, but if an airline advertises they can deposit funds to a US back account it’s within the realms of possibility it will be done via a debit card number.

But it is also in the realms of possibility that it could be done via a Routing/ACH Number and Account Number as a lot of bank transfers are done in the US. If they were able to do it to a US debit card, wouldn't they just say that? All I'm saying is that the Swift Number may have just thrown a curved ball at them and confused them into thinking it was international transfer via Swift that the OP was requesting.

 

[justinbrett]

But it is also in the realms of possibility that it could be done via a Routing/ACH Number and Account Number as a lot of bank transfers are done in the US. If they were able to do it to a US debit card, wouldn't they just say that?

Why didn’t they just say the former?

If it was just a matter of getting the right codes than you’d think they would ask for that. If they’re insisting on an actual US bank (words of OP) that lines up with what I received from AS. Not to say they couldn’t process using bank codes but it’s not a given.

 

[Andyc]

I received a (hard-faught and lower than hoped) payment from Iberia in April 2025. They were able to pay to my Australian bank account.
This was a missing baggage claim.

Here is the exact wording from their email to me:

After reviewing your case, we are pleased to announce that we will be issuing a payment of 1640.64 us dollars to your bank account.
Make sure the account you attach can receive US dollars.

In order to process the transfer, we request the following documentation:

​

Certificate issued by your bank showing the following information:
Bank name
Mailing address of your bank, showing the street, number, city, state, and country
Account number
Routing number or Australian BSB
SWIFT code

​

Copy of your identification document associated with your bank account
Personal mailing address, showing the street, number, city, state, and country

I was able to have this paid to a personal CBA bank account. Whilst I'm sure Wise would have given a better exchange rate, I chose simplicity.

My suggestion would be to use your Aus bank account and say that you've spoken to someone who was sucessfuly able to get an Iberia compensation payment made to an Australian bank account via SWIFT earlier this year.
Good luck.