Most people nowadays are into online shopping given the constraints brought by the pandemic.
If you are an avid online shopper then you are prone to virtual shopping issues like damaged items, undelivered packages, or false advertising. With that being said, you do have a way to resolve a dispute if the seller will not refund your money, by initiating a credit or debit card chargeback with your card’s issuing bank.
But what if your credit card company denies your chargeback? Although this can be a hassle, this too can be corrected.
With patience and time, here are the things that you can do in case your chargeback is declined.
Steps to Take after Dispute is Denied
The charge will be put back on your credit card after a dispute is rejected. Your credit card company will send a written explanation as to why your contention was disapproved along with the next steps you can do to appeal the decision.
An appeal gives you the opportunity to contest the decision. This chance will let you come up with sufficient evidence to get a favorable outcome. However, you need to file the appeal within 10 days from the time you receive the decision.
If the appeal still does not work, another option to take would be to file a complaint with the Consumer Finance Protection Bureau, Better Business Bureau, or Federal Trade Commission.
Or you can hire a lawyer that can help you with your dispute as a last resort. However, this alternative can be costly which will be more than the amount of the chargeback you are trying to win.
What to Do to Avoid Filing Chargebacks
Foremost, before filling a chargeback, you must have a legitimate reason.
Second, if the issue is about the service or product, do not resort to filing chargeback right away. Always communicate with the merchant first. The merchant can offer a replacement or a refund.
As for the merchant’s side, always have a concise return and refund policy posted on your online merchant website. This way, customers will know the necessary steps on how to resolve the problem instead of filing a chargeback.
In addition, dedicated customer support will minimize chargebacks as dissatisfaction issues can be addressed without necessarily resorting to chargeback. Post contact channels like email address, contact numbers, and physical store address where customers can get in touch.
Clear communication assures customers that you are willing to make adjustments. Besides, this boosts customers’ confidence that they are dealing with a legitimate business.
It is also worth mentioning that merchants must exercise good business practices and avoid false advertising. Online shopping does not allow customers from seeing or holding the actual product, so refrain from selling replicas, knock offs, or counterfeit items. Customer dissatisfaction due to false advertising is a reason for a chargeback.
Not at all times that chargeback can be favorable to the customer. If you do not have a valid reason for the dispute, most likely it will be rejected. Or if you do not have sufficient evidence to support your case, there is a possibility that the chargeback can be denied.
So, to win your case, you must respond promptly to the card issuer if other details and documents are needed for the dispute.
Resources:
https://www.consumer.ftc.gov/articles/0219-disputing-credit-card-charges
https://www.firstcardpayments.com/chargeback-prevention-tips/
