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        Received a chargeback

Received a chargeback

What is chargeback?

A chargeback is a transaction, where you may have initially received payment but the transaction is subsequently rejected by the cardholder or the card issuer and debited back to you. Chargebacks can occur for a number of reasons. The most common reasons include:

Fraudulent mail, telephone or Internet order transactions
You did not respond in time to a request for a copy of a transaction (retrieval request)
Duplicated transaction – cardholder charged more than once
The transaction was not authorised.

If you have received a chargeback you will probably want to know why and how we can support you.

There are a number of different reasons why you may have been charged back, however the chargeback process is always initiated in the same way.

The chargeback is initiated by the card issuer who has queried the transaction. It is then passed to Barclaycard Business, as your acquirer, to decide on the best action for you in regard to the dispute.

We will do everything possible to defend the chargeback on your behalf, however the nature of the dispute and the type of chargeback we have been issued with will greatly affect what actions we can take.

Whether we can defend the chargeback or not depends on whether the transaction in question breached any of the rules set by the Card Scheme. If the transaction breached the rules set, then the amount of the transaction may be charged back to your business and debited from your account. However, if the transaction was in line with the rules set, we may be able to defend the chargeback.

So you can be sure we are doing everything possible to defend chargebacks on your behalf.

So what caused the chargeback?

There are a number of different reasons why a transaction will be charged back, but they mainly fall into two categories:

Where you, our customer, have made an error at the point of sale, for example, an expired card has been used.
The cardholder or the Card Issuing Company is disputing the transaction. For example the card or cardholder were not present at the point of sale and possible fraud may have taken place.

Each chargeback has time limits and specific rules and regulations within which we have to work to. These are set by the Card Schemes (Visa, Mastercard, JCB and Switch) and greatly influence the actions we can take when dealing with chargebacks and retrievals.

On the chargeback letter you received there will be a heading and a description of the type of chargeback you have received. In the drop down menu below, you will find a list of all 'types' of chargebacks. You can find the one which best matches yours. This will explain the reason for your specific chargeback and also try and give you solutions to reduce future chargebacks of this nature.

If you need support in understanding the reasons for any chargebacks you receive you can call our experienced customer service team on 0870 60 600 60 or internationally on +44 (0)1604 614015 on Mon – Sun 8am – midnight (Bank holidays 9am - 6pm).

Select the type of chargeback you have received from the list below:

Alteration Of Amount

The Card Issuing Company has initiated a chargeback because they believe that a transaction receipt amount was altered without the cardholder permission.

Measures you can take to prevent this type of chargeback in the future

Please ensure that all necessary charges are detailed in the transaction at the point of sale whilst the cardholder is present. If further charges need to be added then a new transaction should be processed with the cardholder's permission.

If you have any further queries contact our Customer Services Department online or by phone on (01604) 614012 (Mon to Fri 9am to 5pm).

No Authorisation

The Card Issuing Company has initiated a chargeback because they believe the amount of the transaction is over your business's floor limit, and authorisation was not obtained for the transaction.

Should we contact you regarding this type of chargeback we will require proof that authorisation was obtained, if this cannot be achieved the amount may be debited back to you.

Measures you can take to prevent this type of chargeback in the future

To protect your business, always obtain authorisation on all of your transactions over your agreed floor limit. This applies to customers who may be well known to you, because the card issuer, not the cardholder may initiate the chargeback. Authorise all transactions i.e. zero floor limit.

If you require your floor limit to be reviewed please contact our Helpline (01604 614012). If we have no alternative than to debit you for the amount of the transaction, we can only suggest that if possible you contact your customer direct in an attempt to recover the payment by some other method.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Cancelled Guranteed Reservation

The cardholder has contacted their card issuing company stating that the booking or reservation was cancelled but their account has still been debited.

Should we contact you regarding this type of chargeback, we will usually provide you with a copy of the cardholder's letter, detailing when the booking or reservation was cancelled and a cancellation number if one was given.

We will need you to provide your comments and copies of any paperwork relating to the chargeback.

Measures you can take to prevent this type of chargeback in the future

Implement a cancellation number policy, if you do not already do so. This will enable you to check the cancellation number the cardholder may quote against you records.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Cancelled Recurring Transaction

A transaction has been processed to an account that is no longer valid or the cardholder has cancelled their continuous authority agreement with you and you have not acted upon their instructions.

Because of the nature of these transactions we will automatically debit the amount to you and leave you to contact the customer direct for payment.

Measures you can take to prevent this type of chargeback in the future

Authorise all transactions i.e. zero floor limit. This will highlight any cardholders who have changed their account numbers through upgrading or other methods.

Please ensure that the expiry date is obtained, if it is not available then only enter the dummy date 2222 on direct transmission systems or 1234 on terminals (both Barclaycard Business owned and customer owned).

If possible, send a reminder to each customer 4-6 weeks before the transaction is due to take place in order to confirm that the details are correct and that the product is still wanted.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Card Recovery Bulletin

The Card Issuing Company has initiated a chargeback because they believe that the Card Recovery Bulletin was not checked to see if a card number was listed.

Measures you can take to prevent this type of chargeback in the future

Please ensure that all cards are checked against the Card Recovery Bulletin.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Card Not Present

The Card Issuing Company has issued a chargeback because the cardholder has advised them that they did not participate in or authorise the transaction.

Should you be contacted regarding this type of chargeback, we require copies of all documentation you have, for example invoices and proof of delivery, showing the transaction was undertaken by the genuine cardholder.

Measures you can take to prevent this type of chargeback in the future

Authorise all transactions i.e. zero floor limit.

Unfortunately, we can not guarantee payment on any mail/telephone/e-commerce transaction where the cardholder is not present at the time of the transaction.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Declined Authorisation

Your business requested an authorisation code and you were advised that the request was declined. However, the transaction was still processed, knowing that authorisation had been declined.

If authorisation declined under no circumstances should you split the transaction amount down to force the transaction through. This is against your Merchant Member Agreement and you could be liable for chargeback.

Measures you can take to prevent this type of chargeback in the future

You must obtain an alternative means of payment from the customer if authorisation is declined.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Defective Merchandise

The cardholder has contacted their card issuing company stating that the merchandise delivered to them was received damaged or defective.

Measures you can take to prevent this type of chargeback in the future

Please ensure that any merchandise delivered to a customer is packaged in a suitable fashion to withstand the journey.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012.

Domestic Transaction Receipt Violation

The Card Issuing Company has initiated a chargeback because a domestic transaction receipt was not deposited in the country where the transaction occurred and was processed with an incorrect transaction country code.

Measures you can take to prevent this type of chargeback in the future

Please ensure that all transaction receipts are deposited in the country where the transaction occurred.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Duplication

The Card Issuing Company has initiated a chargeback because they believe that a single transaction amount was processed more than once.

Measures you can take to prevent this type of chargeback in the future

Please ensure that when submitting transactions for processing you are not duplicating any transactions which you have already sent. Additional training may be required.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Expired Card

The Card Issuing Company has initiated a chargeback because they believe the card had expired at the time when the transaction took place and authorisation was not obtained by your business on the transaction.

Should we contact you regarding this type of chargeback, we will require proof that the card had not expired when the transaction was taken or proof that appropriate authorisation was obtained. If you cannot provide the proof that is required regarding the transaction, we may have to debit the transaction amount from your account.

Measures you can take to prevent this type of chargeback in the future

Ensure that when taking transactions, manually check each card for the expiry date. Only cards with valid expiry dates should be accepted when taking transactions.

Authorise all transactions i.e. zero floor limit. If possible customers should be contacted in order to confirm their card details. If we have no alternative than to debit you the amount of the transaction, we can only suggest that if possible, you contact your customer direct in trying to recover the payment.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Ineligible Transaction

The Card Issuing Company has initiated a chargeback because they believe that a magnetic-stripe transaction was completed yet the service code indicated that the card was invalid for the transaction and no authorisation was obtained.

Measures you can take to prevent this type of chargeback in the future

Authorise all transactions i.e. zero floor limit. Please ensure that all cards used in your transactions carry the Visa, Mastercard, JCB or Switch symbol.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Invalid/Incorrect Card Number

The Card Issuing Company has rejected the transaction because the card number that your business has processed is incorrect.

This may have been caused by an error when the card number was keyed into the PDQ terminal, or the Card used in the transaction was not a Visa, Mastercard, JCB or Switch card.

Should we contact you regarding this type of chargeback we will either ask for a copy of the transaction to enable us to investigate further or we will debit you when we are sure the card number is incorrect.

Authorisation will only check that the card number is a valid combination of digits, it will not guarantee payment.

Measures you can take to prevent this type of chargeback in the future

Ensure that the card used in transactions bears a Visa, Mastercard, JCB or Switch symbol. If the card number is keyed into the electronic terminal take extra care when inputting the digits as they can easily be transposed.

Check that the card number on the transaction slip is the same as that which is embossed on the card.

Authorise all transactions i.e. zero floor limit.

Where possible you should ensure the accuracy of the details given i.e. card number and expiry date. A way to do this is by repeating details back to the customer to confirm.

If we have no alternative than to debit you, we can only suggest that you contact the customer direct to recover the payment by another method.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Late Presentation

The Card Issuing Company has initiated a chargeback because they believe the transaction was not processed within the agreed time frames.

Should we contact you regarding this type of chargeback, we will require proof that the manual voucher was banked within 3 days or your electronic terminal was polled within the timeframes below. If you cannot prove that the transaction was banked or polled in the designated time, the amount may be charged back to you.

Measures you can take to prevent this type of chargeback in the future

As you are responsible for advising Barcalycard Business if any faults occur on bank owned terminals, you may wish to advise your staff how important it is that they pay particular attention to the smooth running of the terminals. Please ensure that all transactions are submitted within the designated time limits. These are as follows:-

Switch - Before 07:30 on 1st business day following transaction date.
Visa - Three business days from transaction date.
Mastercard - Three business days from transaction date.
Electron - Two business days from transaction date.
Additional training may be required.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Missing refund

The cardholder has contacted their card issuing bank stating they are due a refund from you but this has not been credited to their account.

Should we contact you regarding this type of chargeback, we will require proof that the refund has been processed, or documentary evidence to prove the cardholder is not due a refund. If a manual refund voucher is involved, please provide a copy of the Merchant Voucher Summary (MVS) with which it was banked.

If it is a point of sale refund, please check your day's trading to ensure your terminal processed the refund, proof of this will be required. Also check your statement to make sure that the amount was debited.

Measures you can take to prevent this type of chargeback in the future

Ensure the cardholder is refunded to their credit or debit card, do not refund the amount by cash or by cheque. Also ensure the refund is processed within three working days. The refund must also only be appled to the same card that was used in the original sale.

Once you have accepted the returned goods, please ensure a refund is processed promptly.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Missing Imprint

The Card Issuing Company has initiated a chargeback because they believe that an imprint of the card, either manual or electronic, was not obtained on the transaction receipt, and the transaction was also processed without the cardholder's permission.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Missing Signature

The Card Issuing Company have issued a chargeback because the transaction was 'face to face', and whilst a card imprint was obtained or the card swiped through your terminal, a signature was not obtained.

We usually have no recourse on these types of queries. If the correct security checks have not been undertaken, for example, the signature was not obtained, the amount of the transaction will be debited back to you.

We can only suggest that you contact your customer direct for payment.

Measures you can take to prevent this type of chargeback in the future

Ensure that all security checks are carried out and that a signature is obtained and checked against the signature on the back of the card.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Non-Card

We can only suggest that you contact your customer direct for payment.

Measures you can take to prevent this type of chargeback in the future

Ensure that all security checks are carried out and that a signature is obtained and checked against the signature on the back of the card.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Non Receipt of Goods

The cardholder has contacted their card issuing company stating that the goods they ordered have not been received by them.

Should we contact you regarding this type of chargeback, we will require proof that the goods have been dispatched and received by the cardholder. If you are unable to provide the required information, we may have no alternative but to debit the amount from your account.

Measures you can take to prevent this type of chargeback in the future

Ensure that the goods are never released to a third party, even if they claim to have been sent by the cardholder (for example, a taxi). If possible, ensure a signature is obtained upon delivery of the goods.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Not As Described

The cardholder has contacted their card issuing company stating that the goods or services they received were not the same as either that which was described on the transaction receipt or other documentation presented to the cardholder at the time of purchase. The cardholder will have stated that they have returned the merchandise to the merchant or cancelled services.

Measures you can take to prevent this type of chargeback in the future

Please ensure that the customer fully understands the nature of the services/merchandise he/she is purchasing.

Please ensure that if a customer cancels a service their details are removed and no subsequent transactions are put through on their behalf.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Processing Error

The Card Issuing Company has issued this chargeback because they believe an error has been made by your business when processing the transaction. Should we contact you on this type of query we will advise you exactly what type of processing error has occurred, whether it being a sales voucher completed instead of a refund slip or the total figure was unclear and has resulted in the cardholder being debited the wrong amount.

We will require your comments and copies of any relevant documentation you may have.

Measures you can take to prevent this type of chargeback in the future

Take care when completing transactions. If you are using manual vouchers ensure that you are using the correct slip and that all figures are clear and legible. If you are using a PDQ machine check that the appropriate refund or sale voucher is being used, and the amount, if it is being keyed in, is correct.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Transaction Exceeds Limited Amount

The Card Issuing Company has initiated a chargeback because they believe that a limited amount or self-service terminal transaction exceeded the allowed amount.

Measures you can take to prevent this type of chargeback in the future

Please ensure that any customer-activated terminals are programmed to only take transactions below the value of the agreed limit. Please ensure that any customer-activated terminals are clearly labelled with the maximum transaction value for the customer's benefit.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Transaction prior to 'valid from date'

The Card Issuing Company has initiated a chargeback because the card had not reached its 'valid from date' and you did not obtain authorisation advising the correct expiry date.

Should we contact you regarding this type of chargeback we will require proof that the card had reached its 'valid from date' or that authorisation had been obtained. If you cannot provide this proof, we may have to debit the amount back to you.

If we have no alternative than to debit you, we can only suggest that you contact the customer direct to recover the payment if possible.

Measures you can take to prevent this type of chargeback in the future

Manually ensure that the valid from date on each card is valid on the day that you take the transaction.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).

Unauthorised Multiple Transactions

The cardholder has contacted their card issuing company stating that they have been charged for more transactions than they agreed.

Should we contact you regarding this type of chargeback, we will require proof that more than one transaction was authorised by the cardholder.

Measures you can take to prevent this type of chargeback in the future

Ensure that all transactions processed are authorised by the genuine cardholder.

If you have any further queries contact our Customer Services Department online or phone (01604) 614012 (Mon to Fri 9am to 5pm).