Although credit card acceptance is attractive to consumers, there can be drawbacks for merchants who accept credit cards, such as chargebacks. Many merchants aren’t familiar with chargebacks until they receive their first merchant services statement. Chargebacks arise when consumers dispute specific charges from their credit card account. If the credit card issuer feels the dispute is a valid claim, the merchant is the one penalized and is debited for the charge, even though the charge was previously approved.
This whitepaper provides an in-depth guide to what chargebacks are, how merchants should handle chargebacks, and tips on how merchants can prevent chargebacks from happening.