Winning chargebacks

What is a chargeback, really?

A chargeback is not a verdict – it's a claim the cardholder made to THEIR bank, and the bank took the money back while it asks you to respond. You win by answering the specific claim with the specific evidence that disproves it, before the deadline.

Three things decide most cases: whether your evidence answers the actual reason code (not a general defense), whether it arrives on time, and whether your records existed before the dispute (delivery confirmations, signed receipts, message threads – you can't create these after the fact).

Everything below maps to how Merchant360 works the case for you: open the case under Money → Chargebacks and the reason-code panel shows this same evidence list for the exact code you were hit with.

Want this next to the register? The printable one-page checklist below carries every family's evidence list as literal checkboxes – print it, keep it, hand it to whoever opens the mail.

Read the reason code first

Every chargeback carries a reason code – the cardholder's bank's official claim. Visa, Mastercard, Amex, and Discover each have their own codes, but they all fall into a few families: fraud ("I didn't make this charge"), consumer disputes ("I didn't get what I paid for"), processing errors ("I was charged twice / the wrong amount"), and authorization problems.

The reason code decides your entire response. Delivery proof wins a "not received" case and does nothing for a "cancelled recurring" case; a cancellation log is decisive for recurring and irrelevant to fraud. Answer the claim that was actually made.

Merchant360 decodes the code for you on the case page: what the bank is claiming, the issuer's time window, and the evidence checklist that beats it.

"I didn't make this charge" – fraud (Visa 10.4, MC 4837)

The most common family for card-not-present merchants. The cardholder claims the charge wasn't theirs. Your job: show the real cardholder made it, or knowingly benefited from it.

Evidence that wins:

- AVS match and CVV match results from the sale (Merchant360 keeps these on the transaction).

- Proof you shipped to the AVS-matched billing address – tracking plus delivery confirmation.

- The customer's IP address, device, or account activity tied to the order.

- Any communication with the customer about the order (emails, texts, the invoice thread).

- Prior undisputed purchases from the same customer. Visa's Compelling Evidence 3.0 rule lets two earlier undisputed transactions from the same device/IP/account defeat a fraud claim outright – this is the strongest card you can play with a repeat customer.

For card-present sales, an EMV chip read or signed receipt usually ends the conversation – a chip transaction shifts fraud liability off you.

"I never received it" – not received (Visa 13.1)

The cardholder says the goods or services never arrived. This is the most winnable family IF you kept delivery records.

Evidence that wins:

- Tracking showing delivery to the verified address – signature confirmation is the gold standard.

- For services: completion records – appointment logs, timestamps, before/after photos, the signed work order.

- The communication trail: a customer who emailed you about using the product has conceded receipt.

If the item genuinely didn't arrive (carrier lost it), refund promptly instead of fighting – a lost representment costs the amount AND the fee.

"I cancelled that subscription" – cancelled recurring (Visa 13.2, MC 4841)

The cardholder says a recurring charge continued after they cancelled. Timing is the whole case.

Evidence that wins:

- Your cancellation log showing no cancellation request existed before the billing date – or that it arrived after.

- The terms the customer agreed to at signup (billing cycle, cancellation window). Merchant360 subscriptions record the enrollment.

- The communication trail around any cancellation conversation.

If they DID cancel before the charge and it billed anyway, refund it – that case is lost on arrival. Prevention: make cancelling easy and confirm it by email; a customer who can't reach you calls their bank instead.

"It's not what was described" – quality disputes (Visa 13.3, MC 4853)

The cardholder says the product or service was defective or not as advertised. These turn on your own listings and policies.

Evidence that wins:

- Your product description or service scope as advertised – matched against what was delivered.

- The receipt and any inspection or condition records.

- Your return policy, and whether the customer attempted a return or gave you a chance to resolve it. A cardholder who never contacted you or returned the item weakens their own claim substantially.

- The communication trail, always.

"Where's my refund?" and "I was charged twice" (Visa 13.6, 12.6.1)

Credit not processed: the customer says you promised a refund that never came. If you DID refund, the processing record with date, amount, and the ARN (the network's reference number) ends the case – support can pull the ARN if you need it. If no refund was promised, submit your return policy and the communication showing why.

Duplicate processing: the bank sees two similar charges. Either prove they were two real, separate purchases – two receipts, two authorization codes – or refund the duplicate the moment you spot it. Fighting a genuine duplicate only adds a fee to the loss.

Authorization-family codes (like Visa 11.3, "no authorization") are the one family that's usually unwinnable: if no valid authorization exists for the settled amount, the case is effectively conceded. These almost never occur on Merchant360 because every sale runs a real-time authorization.

The clock is part of the case

Cardholders generally have up to 120 days to dispute (75 for some authorization codes). YOUR window to respond is much shorter and it's printed on the case – the SLA countdown on the Chargebacks page is the single most important number there.

Respond early, not at the buzzer: evidence that arrives after the window is evidence that doesn't exist, no matter how good it is. "Awaiting your evidence" is the one status that's on you.

Fighting the case in Merchant360, step by step

1. 1Open the case from the banner or Money → Chargebacks. Read the reason-code panel – it tells you the claim and the exact evidence checklist for that code.
2. 2Gather the items on the checklist and upload them to the case. PDFs, images, and email exports all work.
3. 3Click Generate draft response – it assembles your documents and the transaction facts into a rebuttal letter aimed at the specific reason code. Read it, edit it, make it yours.
4. 4Submit. The case moves to Responded; Won returns your money, Lost means the reversal stands.

When to fight and when to accept

Fighting isn't always the right business decision. Weigh the disputed amount against the chargeback fee, your time, and your odds – which are excellent when you hold the specific evidence, and poor when you don't.

Accept (don't contest) when the customer is right, when the evidence doesn't exist, or when the amount is smaller than the effort. Accepting an occasional loss is normal; a high FIGHT-everything reflex on weak evidence just adds fees to losses.

Watch your ratio, not just each case: card brands monitor chargeback rates, and a rising count is a signal to fix the cause (descriptor, fulfillment, cancellation flow) – not just to win more fights.

The prevention playbook

Every prevented chargeback is worth more than a won one – no fee, no time, no ratio impact.

- Clear receipt descriptor: most "fraud" disputes are really "I didn't recognize the name on my statement."

- Answer messages fast: cardholders call their bank when the merchant goes quiet.

- Refund fast when something goes wrong – a refund costs the sale; a chargeback costs the sale plus the fee plus the ratio.

- Delivery confirmation on everything shipped; signature over a threshold you choose.

- Recurring: easy cancellation, an email confirmation when it happens, and a reminder before renewal.

- Keyed and online sales: let AVS and CVV do their job – they're also your evidence later.