Space for cardholder signature, if applicable.Transaction amount, with applicable transaction currency symbol.At bare minimum, retrievals must include: If you receive such a request, you have 12 days to respond with information that ties the cardholder to the sale and deflect a chargeback. They do not provide a timeline for their response, partly because Wells may issue a retrieval request to get more information from the merchant. Like Chase, Wells gives cardholders 60d ays from the posting of the transaction to raise a dispute. Chase claims it takes 30-60 days to investigate a dispute, but they are still beholden to the card network lead times on this (Visa: 30 days/Mastercard: 45 days). ChaseĬhase Bank gives its cardholders 60 days from the date a charge is posted to their account to raise a dispute - usually the transaction date, or no more than 2-3 days later considering weekends and holidays. Citi BankĬiti works the same as Bank of America: disputes must be submitted within 60 days of the statement, and the response from Citi must come within 30days. As a merchant, you can reasonably expect a chargeback to hit your account no more than 120 days out from the transaction date. Once the cardholder initiates a dispute, BofA has 30 days to investigate and make a decision on whether a chargeback is going to be issued. So at most, if the charge was made on day one of a given statement period, a transaction has just over 90 days to get disputed. Bank of AmericaīofA cardholders have 60 days from the statement issue date to dispute a transaction from that statement. With alerts, you can intercept a dispute and resolve or refund the transaction before it escalates to a chargeback. The important thing to remember when dealing with chargebacks is that these fees are best avoided through dispute alerts. Processors and acquirers also tack on their fees, which again vary considerably depending on your arrangement with them. An issuer’s fees make up a fraction of the actual charge you’re hit with. We’re not including issuer fees here because the amount of the fee will vary by the time it hits your merchant account. Generally, they trim the 120-day dispute timeline down to give themselves additional time to investigate and respond to cardholder disputes. Now let’s see what the issuers do with these requirements. If it exceeds the card networks’ timeline, the issuer may be in error, and the dispute may be invalid. When fighting a chargeback, always check the time frame from the transaction date to the chargeback. Note the relevant dates are the date of the transaction and the date of the chargeback. Likewise, issuing banks have 30 days with Visa and 45 days with Mastercard to take action based on their cardholder’s dispute in order for their actions to be valid. According to both Visa and Mastercard, transactions older than 120 days are likely not supported by their respective chargeback policies. These are the absolute deadlines for disputes. This means they will have to either accept or decline the dispute by this time. The issuer then must respond to the dispute within 45 days. MastercardĬardholders have 120 days to dispute a Mastercard transaction through their issuer, starting on the transaction date as well. This means the bank must investigate and either charge the transaction back - fully or partially - or turn down the dispute by this time. The issuer then must respond to the dispute within 30 days. VisaĬardholders have 120 days to dispute a Visa transaction through their issuer, starting on the transaction date. If an issuer disputes a transaction with you, but the dispute falls outside these timelines, you may have a case to nullify the dispute entirely. There are lead times the issuing banks place on you, but issuers also have their own timelines to follow that are set by the card networks Visa and Mastercard issuers must follow these rules in order to use their networks. IT ALL BEGINS WITH THE CARD NETWORKSĮvery issuer must comply with the guidelines set by the card network to be able to issue its cards. Here’s everything you need to know about handling chargeback disputes with the big four credit card companies and banks, plus how to handle those transaction disputes when they (inevitably) arise. You’ll likewise be dealing with this “Big Four” for most of your transaction disputes as well.Ī closer look at the dispute policies of the Big Four will give you a decent baseline of what to expect when dealing with card issuers generally. Chances are, most of the credit cards you process are issued by one of four banks: Bank of America, JP Morgan Chase, Wells Fargo, and Citibank.
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