Thread: What Are....

Hi all,

What are chargebacks?

Len

Chargebacks are like your big and irritating signature. If I win with adwords, you forfeit my win and declare loss. Chargebacks mean I have to return the amount I received where it is due because fraud, mistake or whatever justifiable reasons.

Hi stealth,

got it, don't know how my sig got so big should be smaller now.

Len

It is a payment dispute initiated by a credit card holder with their card issuing bank. The amount is withdrawn immediately from merchant's bank account and merchant can further dispute it by showing proof of delivery, purchase, signature etc.

So, if you send money to someone you didn't mean to, or send the worng amount, right?

Does it charge you anything for doing that?

To Make a bit more clear :::

A chargeback occurs when a buyer asks their credit card company to remove a charge from their credit card statement. The credit card company will ask the buyer to provide an explanation about why they are disputing the charge.

Two common reasons for chargebacks are:

1. A buyer's credit card number is stolen and used fraudulently

2. A buyer makes a purchase, but believes that the seller failed to fulfill their side of the agreement (e.g. did not ship the item, shipped an item that was very different from the seller's description, or the item was damaged when the buyer received it).

A chargeback occurs when a consumer requests a refund from their credit card company. The merchant is billed by its merchant bank, which has been billed initially by the card issuer. This may happen for a number of reasons, but most often the result of fraud.

See Wikipedia for more.