The chargeback resolution assistance is the chargeback protection provided to the merchant for all Zaakpay transactions. A dedicated chargeback team in Zaakpay will evaluate the chargebacks and assist to resolve them in your favor. The step-by-step process of chargeback is explained below:
1. Zaakpay receives chargeback notification from banks.
2. Zaakpay notifies merchants through email by providing disputed transaction details and documents required from merchants to remedy the chargeback. The merchant needs to respond within 15 days of receiving the chargeback notifications from Zaakpay.
3. Merchant is expected to provide their chargeback response by replying to the same email received from Zaakpay’s end.
4. Zaakpay verifies the details sent by the merchant and shares the same with the bank.
Introduction - Chargeback
A chargeback is a transaction reversal that occurs when a customer successfully disputes a
charge on their debit or credit card. It results in the payment amount being returned to the card.
Buyers typically request chargebacks from their credit card issuing bank when they want to
dispute a charge from their credit card statement.
Keep in mind that chargebacks may be issued for a number of reasons including, but not limited to, the following:
• An unauthorized party has made a purchase with the buyer's credit card
• The buyer has concerns about the validity of the purchase
• The buyer has been charged multiple times for the same order
• The buyer is unsatisfied with a purchase and has not been able to resolve the problem with the merchant
• The buyer has not received the purchased items
Chargeback Complaint Flow—
Chargeback TATs
● 1st Chargeback – In general the TAT for these cases is 5-6 days.
● 2nd Chargeback (Pre-Arbitration) - In general the TAT for these cases is 5 days.
● Arbitration – 2 Day TAT
Increase your chances of winning chargebacks:
• Respond to our requests for additional information as soon as possible so that we may defend the chargeback on your behalf.
• Include all communications you have had with your buyer when responding to our requests for additional information.
• Include tracking numbers for all your orders. Upon receipt of a chargeback, include the relevant order's tracking number in your response to the chargeback inquiry.
• For service orders or personal deliveries, ask buyers to print out and sign a copy of the Checkout receipt stating that your services have been completed to their satisfaction.
• As a best practice, make your business policies visible to buyers before they place an order. Buyers are entitled to issue chargebacks regardless of a merchant's own business policies. However, if there is evidence that the buyer had the option to view a merchant's policies before placing the order, your chance of winning the chargeback is greatly increased.
What are pre-arbitration and arbitration?
When the issuer and acquirer cannot reach a final decision on a contested chargeback on their own, any of the parties involved can request a final arbitration by the card network.
Pre-arbitration is the last chance for the merchant or issuer to accept liability for the dispute before arbitration.
In arbitration, the burden of proof is once again on the merchant to provide evidence that debunks the dispute claim.
Arbitration fees vary by network, but for arbitration whichever party loses the case will have to pay $500 in fees as a penalty along with transaction amount.
Why have I received a chargeback for an old transaction?
Credit card associations have different rules regarding the time period a buyer is allowed to initiate chargebacks. These time periods may also be affected by the specific chargeback reason and are determined by the schemes, not by the Zaakpay.
As a result of the differing rules, some chargebacks can be raised up to 120 days from the date that the service was completed or delivery was expected. If services sold have no clearly defined completion date or items sold have a delivery date far in the future, it is possible to receive late chargebacks.
I've provided documentation to contest the chargeback. What should I do next?
The chargeback process normally can take up to 90 days. However, depending on the card type, the reason code, and the complexity of the case, the process may take longer. You will be notified by email.
We will contact you as soon the credit card association has reached a decision on your case. In the meantime, you may want to review our suggestions on how to prevent chargebacks and disputes for future orders.