Chargeback

A chargeback is a forced reversal of a card transaction initiated by the cardholder through their issuer, usually citing fraud, non-delivery, or billing disputes, and debited from the merchant through the acquirer.

Also known as: payment dispute, card dispute

Updated Aug 28, 2026by WeiJun Tang, SEO

Dispute lifecycle

Issuers file chargebacks with reason codes; merchants may accept or represent with evidence.

Ratio monitoring

Excessive chargeback rates can trigger scheme monitoring programs and fines.

Sources

  1. Visa dispute management
  2. Mastercard chargeback guide

FAQ

  • No. Refunds are merchant-initiated; chargebacks are issuer-initiated dispute workflows.

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