What is a Chargeback?

What is a Chargeback?

A Chargeback is a transaction reversal meant to serve as a form of consumer protection from fraudulent activity committed by both merchants and individuals. It happens when a cardholder disputes a charge on their credit or debit card statement and requests the issuing bank to reverse the transaction.

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    • Transactpay chargeback process

      When we receive chargeback notices from the customer's bank, we quickly pass this information on to our Merchants. Merchants must then provide their response within the timeframe outlined in the Merchant Service Agreement (MSA).

    • How much time do I have to reply to a chargeback?

      For local transactions, a response is expected within 16 hours, while international transactions allow you 48 hours to reply to a chargeback.

    • How does refund differ from chargeback?

    • Accepting Chargebacks

      Agreeing to a chargeback means the transaction's cost will be deducted from your account and given back to the customer. To prevent the customer from receiving a double refund, please refrain from refunding any transaction already identified as a ...

    • Decline chargebacks

      This signifies that the merchant has firmly declined any responsibility for reimbursing the disputed amount to the customer. Usually, the merchant would provide a reason for rejecting the chargeback request e.g. a receipt or an invoice, proof that ...