What is Involved in the Chargeback Arbitration Process?

Chargebacks are a consumer protection mechanism, providing an opportunity for cardholders to dispute a credit card transaction. Like all other types of formal disputes, arbitration is available in situations where a decision can’t be reached.

Understanding Visa Chargeback Thresholds

Visa carefully monitors each merchant and takes action when activities may cause undue harm to the goodwill of the Visa system. One issue that regularly threatens Visa’s brand is excessive chargeback levels.

Understanding MasterCard Chargeback Thresholds

MasterCard carefully scrutinizes each merchant’s chargeback activity as part of the Excessive Chargeback Program. Through the use of predetermined chargeback thresholds, acquirers are able to evaluate and predict chargeback risk.

What Role do Chargebacks Play When Determining Risk?

Credit card processors assign merchants to one of two categories: high risk or low risk. Many processors choose to do business exclusively with low-risk merchants who are viewed as “safe.”
Businesses that are dubbed high risk will require high risk merchant accounts.

The Entire Chargeback Representment Process Explained

Chargeback representment is a process that can positively or negatively impact your business’s profitability and sustainability. Because it is such a powerful function, it is essential for merchants to understand the process.