Why You May Have Received a Chargeback
Understanding the reasons behind claims from your customers can help identify the main cause and provide you with valuable information on where you need to make changes or consider adopting a new
approach within your business. This helps to reduce chargebacks but also saves valuable time and customer service resource.
Possible reasons for chargebacks include:
- Customer did not receive a product or service
- Customer does not recognise the charge or business name on their card statement
- Customer believes the product or service was defective, damaged or not as it was described
- Customer was a victim of fraud; card was stolen or used without consent
- Customer refund was not processed in a timely manner
Avoiding and Managing Chargebacks
The best approach to prevent chargebacks is to create best practices that are followed consistently by all employees.
For example, always process a refund back to the original card number in a timely manner.
Chargebacks can cost you time and money – but it's important to remember that many chargebacks can be prevented and
quite often, it begins with comprehensive employee training.