Chargebacks911’s 2026 Chargeback Field Report was recently featured in Financial IT in an article examining how the rising cost of chargebacks is affecting merchants, and ultimately consumers. The piece explores how businesses are increasingly passing fraud- and dispute-related expenses on through higher prices, making chargebacks a concern that extends well beyond the payments industry.

The article draws on findings from the Chargeback Field Report to explain how first-party misuse, or “friendly fraud,” has become one of the most significant drivers of chargeback losses. As merchants contend with increasing dispute volumes, low representment success rates, and the operational costs associated with managing chargebacks, many are adjusting prices to offset those expenses. The report suggests that consumers who never file a dispute may nevertheless bear part of the financial burden.

“Every fraudulent dispute creates costs that go well beyond the original transaction,” says Monica Eaton, Founder and CEO of Chargebacks911, in the piece. “When enough of those costs accumulate, businesses have little choice but to recover them somewhere else. Increasingly, that means higher prices that are paid by the honest majority of customers who had nothing to do with the problem.”

The feature also highlights additional findings from the Chargeback Field Report, including the increasing prevalence of friendly fraud and the substantial multiplier effect of every disputed transaction once chargeback fees, labor costs, prevention technology, and lost merchandise are taken into account. Together, these trends underscore why merchants are investing more heavily in proactive fraud prevention, stronger customer communication, and comprehensive dispute management strategies to reduce unnecessary chargebacks while protecting both revenue and the customer experience.

Read the Article