Glossary
What is a chargeback?
A chargeback is a card issuer reversing a payment at the cardholder's request, usually over a dispute or suspected fraud. It is not a refund: a refund is something you choose, a chargeback is imposed on you. Recovery nets against future payouts.
An unavoidable part of taking card payments, and worth understanding before it happens rather than during.
Not a refund
A refund is a decision you make. A chargeback is a decision made about you, by the cardholder’s bank, often months later.
How recovery works
Chargeback debt is recovered by netting against future payouts. A merchant who is not being paid out has no netting source, which is a limitation Fidella records openly rather than papering over.
Reducing them
Clear descriptions of what a voucher entitles somebody to, honest expiry terms, and answering customers quickly. Most chargebacks start as a question nobody answered.