Chargeback Process Flow
Chargeback Process Flow
Chargeback Process Flow
PROCESS FLOW
By ADOYI CHARITY
INTRODUCTION
Today in the Card Payment Industry, card holders are encouraged to initiate
transactions via Electronic -PLATFORM .e.g. ATM, POS and WEB.
Disputes occur through the use of cards on either of the above Terminals, where a
cardholder experiences a debit in his/her account without receiving value .e.g. ATM
dispense error, Goods and services not provided in case of POS/WEB.
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CHARGEBACK
Chargeback is a term under Dispute Management which means to process
Recovery/refund for a disputed transaction where a debit occurs. Chargeback is initiated by the
card issuer on behalf of a complaining cardholder. Chargeback is processed against an acquirer
who owns the terminal on which the dispute occurs. ..
RE-PRESENTMENT
Re-presentment is a term under Dispute Management which means to decline or reject a
chargeback. It is a power vested in the acquirer to refuse to accept a chargeback request for
refund of a transaction that occurred on its terminal. In doing this however, the acquirer must
provide clear proof/evidence to support the decline. Such proof includes journal, signed receipts,
dispatch order, delivery papers, invoice, correspondence, etc.
PRE-ARBITRATION: This is a process where the chargeback processed was re-presented
(declined) by acquirer without documentation or a situation where the document provided by
acquirer is not eligible or does not match with chargeback details sent for processing. E.g. Pan
number , transaction date and amount etc.
d). Card holder must state in his/her letter that he did not
f). Card holder must state that his card has been blocked. (Regards to Visa rules)
• g). Card holder must state in his letter if he was in possession of
the card at the point he received the debit alerts.