What is a chargeback?
A chargeback is a reversal of a card transaction initiated when you dispute a charge with your card provider. Chargebacks are designed to protect cardholders from unauthorised transactions, billing errors, or when a merchant fails to deliver goods or services as promised.
A chargeback only occurs if your dispute is successful. Submitting a dispute does not guarantee a reversal. The card network will investigate and make a decision based on the evidence provided.
When should I submit a dispute?
You should consider submitting a dispute if:
You were charged for a transaction you didn't authorise
You were billed the wrong amount
You didn't receive the goods or services you paid for
The merchant charged you multiple times for the same purchase
You cancelled a subscription but were still charged
If you identify a transaction as unauthorised, immediately cancel the affected card and request a replacement. You can only submit the dispute once the transaction has settled (moved from "processing" to "completed"). This ensures your dispute is eligible for processing.
How to submit a dispute
To submit a card dispute, you'll need to provide the following information:
Transaction ID (found in your transaction history)
Transaction date
Transaction amount
Dispute reason
Clear explanation of what happened and why you're disputing the charge
Supporting Documents: Provide any relevant evidence to support your claim, such as:
Screenshots of conversations with the merchant
Order confirmations or receipts
Cancellation confirmations
Photos of damaged or incorrect items
Any other documentation that helps explain your case
Incomplete submissions may delay dispute processing. Ensure all information is accurate and that all supporting documents are clear and legible.
What happens after I submit a dispute?
Once you submit your dispute:
Review and Investigation: The card network (Visa) reviews your dispute and investigates the case. This may involve contacting the merchant and requesting their response and evidence.
Resolution Timeline: The investigation typically takes 30–60 business days, depending on the network and the dispute type.
Decision: The card network will make a decision based on the evidence provided by both you and the merchant. You'll be notified of the outcome once a decision is made.
Chargeback or Denial: If your dispute is successful, a chargeback will be processed, and the funds will be returned to your account. If the dispute is denied, the chargeback fee will not be returned, and no refund will be issued.
Chargeback fees and reversals
Chargeback Fee: A $30 chargeback fee must be paid upfront when you submit your dispute. This fee covers the processing costs associated with handling the dispute through the card network.
The chargeback fee is non-refundable, regardless of the outcome of your dispute. This means if your dispute is denied, the $30 fee will not be returned.
Reversal Timeline: If your dispute is approved, it may take up to 30 days for the reversal to reflect in your account after the decision is made. This timeframe depends on the card network's processing schedule.
Tips for a successful dispute
To increase your chances of a successful chargeback:
Act quickly: Submit your dispute as soon as you notice an issue
Provide complete information: Include all required details and supporting documents
Be clear and specific: Explain exactly what happened and why the charge is incorrect
Keep records: Save all receipts, emails, screenshots, and other documentation related to the transaction
Try to resolve with the merchant first: Many merchants are willing to issue refunds directly, which can be faster than a chargeback.