When we talk about how to “fight and win” against chargebacks, what are we really saying? For the most part, what we’re referring to is chargeback representment. This is the part of the dispute process where the merchant has a chance to contest the chargeback and convince the issuing bank to reverse it and give back the disputed funds. It’s called representment because the merchant is “presenting” the charge a second time. Understanding how chargeback represenment fits within the overall dispute process is crucial to fighting back effectively.

To dispute a transaction and obtain a chargeback, cardholders must give their issuing bank a reason why the charge was invalid and they shouldn’t have to pay it. The issuer may ask some questions and try to dissuade cardholders from filing a baseless dispute, but in most cases the cardholder will receive a chargeback if they demand one.

Chargeback representment happens when the merchant does not agree with the cardholder’s claims and does not want to accept the chargeback. Upon receiving notice of the chargeback, they can submit the transaction again, along with evidence that proves its validity. This evidence is first received by the merchant’s acquiring bank, who sends it back upstream to the issuing bank, who makes a decision and notifies the merchant and the cardholder.

Full Text:
https://www.chargebackgurus.com/blog/what-is-chargeback-representment

©Chargeback Gurus 2020
Production: Courtney Freeman 
Narration: Phil Claffey