When you accept credit card payments on your Cococart shop, you might encounter disputes, also known as chargebacks. When a customer has issues with charges on their card, they can contact their bank to dispute the charge. The bank then makes a chargeback.

Please note that Cococart is not involved in the outcomes of these disputes and chargebacks. It is your customer's bank that handles the dispute claim and makes the chargeback on your account.

When a chargeback is made, the bank immediately takes the disputed amount from you along with a chargeback fee, depending on your currency and the total amount of the order.

If you win the chargeback, the disputed amount is returned to you along with the dispute fee.

If the cardholder wins the chargeback, the disputed amount is returned to the cardholder and you will be charged for the dispute fee and any payout made related to the disputed amount.

The Chargeback Process

  1. The cardholder disputes a credit card charge with their bank.

  2. The cardholder's bank sends a chargeback request to the credit card company, and takes the disputed amount and a chargeback fee from you.

  3. The credit card company asks for evidence that the charge was valid.

  4. We notify you of the disputed payment and request for evidence for us to forward to the credit card company.

  5. You gather evidence to prove the charge was valid and submit it to us.

  6. We forward your submitted evidence to the credit card company.

  7. The credit card company reviews the evidence. The review can take up to 60-75 days after the response is submitted.

  8. The credit card company resolves the chargeback.

Resolving a chargeback

During the dispute resolution process, your payouts will be on hold until you have submitted compelling evidence that the charge was valid.

You can resolve the dispute in the following ways:

1. Ask your customer to withdraw the dispute

You should first try to resolve the issue by contacting your customer. If the customer agrees that the charge was valid, ask them to withdraw the dispute.

Note that evidence proving the charge was valid must still be provided even if the customer agrees.

Additionally, keep any proof of communication with the customer stating that they’ll withdraw the dispute and ​​ask the customer for a copy of the letter of withdrawal or a screenshot of the re-billing as it appears on their statement once they have it.

2. Challenge the chargeback

If you were not able to resolve the issue with your customer, you should submit compelling evidence that the charge was valid. Depending on the dispute, you typically have 7 to 21 days to submit evidence. Evidence can only be submitted once.

We will notify you of the dispute category (e.g. fraudulent, credit not processed, etc.) and provide guidelines on the appropriate evidence to submit.

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