A chargeback is a process that allows cardholders, and occasionally an issuing bank, to file a dispute regarding a charge. Once the cardholder initiates the complaint, an investigation is performed by the issuing bank. There are many reasons why chargebacks occur, some of the most common reasons for chargebacks are:

    • The customer claims they did not receive a product or service.

    • Your customer does not recognize the charge or description on his or her credit card statement.

    • The product or service was defective, damaged, or not as it was described.

    • The customer was the victim of fraud― his or her credit card was stolen or used without their consent.

    • A refund was requested and not received. You will receive documentation that notifies you of any chargeback(s).

You must fill out and submit all required documentation for each chargeback. Funds will be withdrawn from your account while the disposition of the chargeback is determined. Do NOT issue a refund once you have been notified of a chargeback. If the chargeback is deemed to be valid, the consumer retains the funds. If the chargeback is deemed to be invalid, the funds will be re-deposited to your account.

Please feel free to download a copy of the Merchant Handbook for your records.

Article Id: 36000167004