Chargeback

Charge back is nothing but a return of funds to a customer. It is basically exists for customer protection. A customer may initiate a chargeback by contacting their issuing bank.

Following are the basic reasons for the chargeback:

 Technical: bank processing error
 Clerical: duplicate billing
 Quality: never receive services as per promised
 Fraud: identity theft


But the common reason for the chargeback is fraudulent transactions. It could be due to charged twice for a single transaction. The reason for chargeback could be due to dispute between issuer, merchant etc.