Definition
A card payment reversed by the cardholder's bank after the cardholder disputes it, which the merchant can contest with evidence within the network's deadline.
Also called: card dispute, payment dispute
Key points
- The merchant usually loses the sale amount plus a chargeback fee unless it wins the dispute.
- Evidence typically means proof of delivery, the customer's agreement to the terms and records of communication.
- Response deadlines are short and set by the card network and the processor.
Figures on this page are calculated by ERPSav from the definitions shown. The explanatory text is drafted with AI from those figures and checked automatically before it is published. General information only, not legal, tax or financial advice.