A Chargeback happens when a customer calls their financial institution and disputes a transaction for reasons such as fraud, credit/refund not process, or other reasons.
Why are Chargebacks bad?
Bottom line; you do not want to get chargebacks. Chargebacks will hurt your business due to fees, increased merchant reserves, or possibly losing your ability to accept credit cards.
PayCafe charges a fee for each chargeback a merchant receives. Additionally, if Chargeback rates remain above the acceptable threshold, a processing account can be terminated. This means a frozen merchant account, with the ability to process credit card payments revoked. Merchants are unable to accept cards so long as they have a closed merchant account.
If you have questions or need assistance with chargebacks or chargeback reporting, please submit a support ticket through the merchant portal at https://merchant.paycafe.com/login.
We also welcome feedback from our merchants. Please send us your suggestions at firstname.lastname@example.org .