When selling online you probably already have come across situations where a buyer decided to question an already processed transaction.
Whether the buyer's reasoning is valid or not, credit card issuers and payment gateways provide them with a set of tools which allow them to appeal and review transactions.
A chargeback is one of these tools given to the buyer by their credit card issuer and is applicable only if the said credit card was used to pay for items/services in question.
Luckily, the merchants working with Glopal and using the Glopal payment gateway have no need to worry about chargebacks as these can be handled for them by the helpful Glopal team.
What is a chargeback?
A chargeback (or a reversal) takes place when a buyer asks a credit card company to reverse a transaction that has already been processed.
A chargeback can be filed with the card issuer based on credit card association regulations and timeframes.
A chargeback is a process that is initiated outside of the Glopal payment gateway and the final decision in made by the credit card company, which means than neither Glopal nor the payment gateway have control over it.
Chargebacks are most often issued because:
- A buyer’s credit card number is stolen and used fraudulently
- A buyer makes a purchase, but believes that the seller has not fulfilled their side of the agreement
Whether the buyer's reason for issuing the chargeback is legitimate will be determined by the credit card issuer based on evidence presented by both involved parties.
To successfully fight fraudulent claims make sure to follow the steps provided in the last section of this article.
How does Glopal handle chargebacks for the partnering merchants?
Merchants partnering with Glopal have access to a wide range of local payment methods thanks to the Glopal's payment gateway.
This means that when the purchase is made by a buyer in the Glopal checkout, it is first Glopal who receives the funds. As a result, when a chargeback is triggered by the buyer's credit card company it is Glopal's funds that are blocked by the chargeback.
The Glopal team then provides all the necessary evidence to win the chargeback. In this process, they may contact the merchant asking for assistance.
Should the Glopal team lose a chargeback caused by fraud despite all their best effort, we take full responsibility for it.