A chargeback is a procedure whereby a buyer disputes a transaction made with a credit card and obtains a refund from their card issuer.
What is the purpose of a chargeback?
Chargebacks serve to protect buyers from unauthorized transactions. However, they can cause significant difficulties for organizations.
Notably, chargeback requests can occur after your event has ended, as a person has 60 to 90 days to dispute a transaction.
Why does a credit card holder request a chargeback?
In several situations, a person might contact their credit card company to request a refund for a purchase.
Fraudulent Chargebacks:
Fraud: The person believes their credit card was stolen or used without permission.
Dispute-Related Chargebacks:
Non-receipt of product or service: The person did not receive the purchased product or service.
Non-compliant product or service: The person believes the received product does not match the purchased product or service’s description.
Processing Error-Related Chargebacks:
Unknown business name: The cardholder does not recognize the charge or the business name on their credit card statement.
Incorrect information: Entry errors were made by the buyer during the purchase.
Learn more about Chargebacks