There is a type of claim on Amazon called a credit card chargeback claim, which is called Chargebacks in English. It is displayed in your backend.
Many sellers may be very unfamiliar with this kind of claim, especially those who are new to e-commerce and do not understand the concept of chargeback at all. Next, let’s discuss this key value that still affects ODR.
1. What is a chargeback claim?
In European and American countries, based on a very complete credit system, all banks will give customers the opportunity to deny any payment on the bill within 180 days after the transaction. Right to trade. This kind of denial is called refusal to pay. The bank will not do any detailed investigation of the customer, and will basically refuse the payment for the customer and return the money to the customer’s card. But sellers don’t have to worry. Based on the perfect credit system in European and American countries, this kind of chargeback will not be abused.
2. What are the reasons for refusal of payment?
(1) Stolen card. If a customer’s card is stolen or a transaction that is not authorized by the customer occurs, the customer can apply to the bank for a chargeback for the stolen transaction due to the stolen card. Therefore, any transaction without the customer’s authorization can be denied by the customer, even if the credit card used by the ex-boyfriend Xiang Ding in the Amazon account is used, he can refuse the payment.
(2) The goods were not received. Because the online shopping environment abroad is completely different from that in China, foreigners dare to spend money on any shopping website online. If the website does not deliver goods to customers, customers can initiate a chargeback request.
(3) The goods are not correct. At this time, the advantages of foreign banks can be reflected. In China, if you buy something online and encounter a huge gap between the buyer’s show and the seller’s show, you may only laugh at yourself for not being perfect. But in foreign countries, if the seller does not refund the customer, he can apply to the bank to refuse payment of the transaction.
(4) Buy fake goods. Needless to say, if you buy a fake product and the person selling the fake product refuses to refund the money, the buyer can ask the bank for a chargeback.
(5) Repeated deductions. If due to payment gateway reasons, the customer’s payment is deducted twice within a very short period of time. The customer can also refuse any of them.
3. The impact of chargeback on the seller’s account. Who should the seller approach to resolve the chargeback? Obviously, the impact of chargeback on the seller’s account is even greater than the A-2 dispute. Because if there is a dispute, you can also appeal to Amazon, and you can also let Amazon determine the fault party. In the case of refusal to pay, Amazon is also a passive party, so it cannot determine whether the refusal is reasonable. Therefore, once a chargeback occurs, the responsibility will fall on the seller, and it will also affect the seller’s ODR.
So, once a chargeback occurs in the account, who should the seller contact to resolve it?
Remember, if a chargeback request is received, the only person who can help the seller reverse it is the customer himself. Therefore, after receiving a refusal to pay, the only solution is to actively communicate with the customer to find out why the customer refused to pay. After figuring out the reason, proactively agreeing to refund the customer and asking him to cancel the chargeback may be the only way. Because most customers who refuse to pay do not want to lose money, refunding them first is the most effective way.
4. What are the unknown things about chargebacks
In fact, chargebacks are very simple and straightforward. Unlike disputes, you need to think carefully about how to communicate with Amazon, because there is no such thing as a chargeback. Where to appeal, it can only be withdrawn by the customer.
The number of chargebacks differs between the United States and Europe. Banks in the United States do not have clear restrictions on customer chargebacks, while Europe has certain controls on customer chargebacks. Customers with more than 5 chargebacks will have their credit affected, so the probability of chargebacks in Europe is higher than in the United States. Be small.
The three values of negative reviews, A-Z disputes and chargebacks constitute the three components of our ODR, and each part is very important. Any value exceeding the standard will cause a devastating blow to our account. , their effects can even last up to a month. Therefore, please pay attention and seriously improve your products, services and FBA. You will be far away from these three values.