E-commerce and payments

What is Chargeback?

A chargeback is a customer disputing a payment with their bank, which reverses the funds and usually adds a fee. Winning one requires evidence, so the systems that record what was ordered, delivered and communicated matter more than the dispute process itself.

Also called: payment dispute · card dispute

The common causes, in order

  1. The customer did not recognise the descriptor on their statement
  2. The goods did not arrive, or arrived late
  3. The item was not as described
  4. Genuine card fraud
  5. A subscription the customer forgot they had

What prevents most of them

  • A clear statement descriptor matching your trading name
  • An order confirmation email that actually arrives
  • Realistic delivery dates and proactive notice when they slip
  • An easy route to contact you — a hard-to-reach merchant gets disputed instead of emailed
  • Clear renewal reminders on subscriptions, before the charge

What to keep for evidence

Order records, delivery confirmation, the exact terms shown at checkout, and the correspondence. A store that cannot produce these loses disputes it should win, which is a systems problem rather than a payments one.

Where this is covered in depth

A definition can only go so far. Why checkouts get abandoned, and which fixes belong in the build covers this properly — 2 minutes, free, no email required.

Who wrote this

Anas Bin Masud builds e-commerce sites and does technical SEO for businesses in the UK, Canada and Pakistan. These definitions come from client work rather than from a content brief — where an entry describes a mistake, it is usually one found on a real site. More about how I work.

Related terms

All 184 terms in the glossary →

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