You have authorised a deduction from your account.
Your bank removed the money from your account ready to send to the seller.
The seller won't follow through so the instruction will lapse.
Your bank will automatically return the money to your account.
Umm no - not in this case. OP has been given a refund slip - which means the money has already been taken and is gone. It has to be returned as a separate transaction
It can take a day or two longer to show up than a sale