Merchant Versus Customer: Both Sides of a Chargeback

If you are a business owner that accepts credit cards for payment, you may be already familiar with the frustrations of the dreaded chargeback process. This is when a customer contacts their credit card company to dispute a charge or have a charge reversed. But have you ever stopped to look at them from the point of view of your customers?

By gaining a better understanding of why and how they occur, you might be better equipped to prevent these potentially costly situations in the future. In the following infographic, takes a look at “Two Sides to a Chargeback.”


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David Wallace David Wallace, co-founder and CEO of SearchRank, is a recognized expert in the industry of search and social media marketing. Since 1997, David has been involved in developing successful search engine and social media marketing campaigns for large and small businesses. In additions to his duties at SearchRank, David is editor in chief at Infographic Journal, a blog featuring some today's best infographics and data visualizations.

4 Reactions
  1. Too often, a company uses a different name for the charge than the name they used to make the sale which leads to confusion, especially with recurring subscription or auto-renewal charges. I may purchase an item, or agree to auto-renew, but the name on my credit card statement bears no resemblance to the company I purchased the item from. Even if I remember the purchase, given the amount of fraud on these statements, I almost automatically dispute the charge unless there is a valid 800 number I can call to verify that the name on the statement is the company I purchased from. It’s not fair to honest vendors, but it’s equally unfair for these vendors to use a different name for charging purposes.
    And I doubt I am alone.

  2. Its a tough situation Marcy in our company where we collect the charges for restaurants for their on line orders, and we pay them back. The charge therefore on the CC statement has to be in our name @Zwift@ and cant be in every restaurant name that uses our payment portal….. wish there was a solution but to get the banks to talk about it is nigh on impossible. I have been trying for over a year now to solve this problem….any suggestions?

  3. It is not that different from selling a product or service and allowing a money back guarantee or refund. Although it pushes you to provide quality services, there is still a good portion (I’d say around 10%) who will always ask for a refund or chargeback. It’s a tough world but you need to do your best to minimize it.