Chargebackhit is a unified source of data with a layer of proprietary technology aimed at boosting the efficiency and
ROI is a ratio that shows the return on an investment in relation to its value. ROI of chargeback prevention. The two main chargeback Glossary
Chargeback notifications are messages that the merchant receives informing them that a chargeback has occurred or will soon occur. alert networks are Visa (Verifi) and Mastercard (Ethoca). Each network includes numerous issuing banks, with some banks included in both networks; at the same time, coverage is provided by Visa/Mastercard networks worldwide. The solutions remedy to your chargebacks and fraud are given below:
Using our direct connection to providers, we can support merchants by assisting at one of the first stages in the dispute-resolution process, helping you to resolve the issue without investing much time into analyzing your disputes and to cut your chargeback costs in addition.
Several approaches allow you to prevent chargebacks and remain on the side of Visa and Mastercard:
A tool that allows merchants to stop Visa chargebacks before they are initiated by the customer. Merchants integrated with OI (formerly referred to as Visa Merchant Purchase Inquiry - VMPI) can provide card issuers with the detailed company, customer, order, and product information in real-time. Order Insight and Glossary
Consumer Clarity (formerly referred to as Ethoca Eliminator) is a system that allows the merchant to provide details of the transaction to the issuing bank to prevent unlawful chargebacks. Consumer Clarity chargeback merchant services through seamless Chargebackhit integration. Once a customer sends a chargeback request or clarification of the transaction to their issuing bank, a bank requests the details from Visa, and Visa requests them from the merchant. The merchant can provide all the necessary data automatically, using Consumer Clarity, Order Insight, and Chargebackhit as a communicator between the issuing bank and the cardholder on one side, and the merchant on the other, which can Guide
Chargebackhit system prevents disputes and protects revenue by providing enriched transaction information to issuers and customers in real-time. prevent a possible chargeback. Compelling evidence 3.0 in addition to Order Insight provides the advantage of increasing the likelihood of successfully blocking or deflecting fraud disputes, thereby reducing the costs and resources needed to respond to disputes.
Resolve disputes efficiently with directed refunds or automated resolutions for Visa using Chargebackhit. Resolve integrates RDR for auto-resolve, CDRN and Ethoca with a refund on the merchant side. Integration with Verifi ( Glossary
RDR is a program from Visa that allows merchants to automatically process returns to resolve certain disputes. RDR & Glossary
The CDRN is Verifi’s proprietary solution, this platform is one of several alert networks that intercept chargebacks on your behalf. CDRN ) and Ethoca (Mastercard&Issuers alerts) provides a service to resolve chargebacks. This allows preventing chargeback claims from becoming disputes without exceeding the Guide
Thresholds refer to the predefined levels of chargeback activity that trigger alerts, allowing merchants to take action to prevent chargebacks before they become a significant issue. thresholds , chargeback ratios, payment processing fees, dispute resolution costs, and program compliance fines.
In conclusion, preemptive notification tools Order Insight and Consumer Clarity are combined into prevent to preempt disputes, the data can later be compiled into
Maximize win rates for all major card brands and recover revenue by building a custom compelling evidence response through dispute representment in Chargebackhit. recover to fight chargebacks.
For each product, the alert processing flow is approximately the same:
- Convert the alert into an internal format and store it in the database.
- Check for duplicates and exclusion rules.
- Generate a request for the merchant and send a notification.
- Handle the merchant’s response and respond to the provider accordingly.
Chargeback notifications are messages that the merchant receives informing them that a chargeback has occurred or will soon occur. Chargeback alerts are delivered to the merchant before a claim is made, giving them a chance to avoid it.The alerts inform the merchant that a chargeback is pending but has not yet been filed. In this case, the merchant may take independent actions to avoid the chargeback, such as a voluntary refund, and pass this information on to the issuer.
Alerts come from issuers or card schemes, and they are alerts issued by the user who initiated a chargeback. An overall simplified process for all types of alerts looks as follows:
- The cardholder contacts the issuing bank to dispute a purchase.
- Issuer returns notifications to the providers directly or via card schemes.
- Providers notify Chargebackhit of the upcoming dispute.
- Chargebackhit sends a request to the merchant.
Chargebackhit notifies the merchant of the incoming chargeback. Then the merchant can decide whether to refund the customer, stop the order fulfillment, update the order information, or challenge the disputed transaction depending on the alert type.
- Merchant completes actions and responds to Chargebackhit with an action taken, for example:
- Match the alert to the transaction in the database
- Refund the transaction
- The response is sent back to Chargebackhit.
- Chargebackhit responds according to the alert type.
Assuming the merchant wants to avoid a chargeback, they refund the purchase and/or stop order fulfillment.
- The issuer receives the information, and under certain conditions, can stop the chargeback process.
- The cardholder receives information or a response from the issuing bank that the money will be returned soon or receives additional information in real time about the transaction
Obtaining information can also help to stop the chargeback process.
Chargebackhit has a unified API for all kinds of alerts on the market. Currently, we offer the following products:
Cardholder Dispute Resolution Network’s (CDRN) unique and patented, closed-loop process directly integrates with top issuers and provides unmatched service quality and accuracy for merchants and issuers to resolve disputed payments, dramatically minimizing chargebacks and cardholder dissatisfaction. CDRN receives immediate notifications from issuing banks about cardholder issues.
Verifi CDRN alerts lead to the freezing of the chargeback process for 72 hours.
Alerts types are categorized as:
|inquiry||Chargebackhit sends you inquiry requests initiated by the issuing bank, and we return additional merchant data to the Visa issuer when we match your available transaction data. If a transaction does not match, we send default data.|
|init-refund||Chargebackhit asks the merchant to refund.|
|resolved||Chargebackhit notifies regarding the resolved dispute. The transaction is automatically credited to the cardholder, and chargeback is prevented.|
|prevented||Chargebackhit issues a notification indicating the successful dispute prevention, originating from the inquiry .|
Use the direct delivery of post-authorization fraud and dispute notifications to minimize payment risk in Chargebackhit. Inform types:
|fraud-notification||This is a Visa notification of a confirmed fraud event by the cardholder. No refund should be processed. For best practices, we recommend suspending subsequent billings for the cardholder.|
|dispute-notification||This is received for all Visa fraud and non-fraud disputes from a single course. For best practices, we recommend tracking dispute rates and improving link analysis, modeling, and dispute analytics.|
Summarize complex API outcomes and responses, ensuring accurate transaction reconciliation.
Response depends on alert types:
- default outcome
reversed - the transaction has been refunded after the alert.
previously-reversed - the transaction has been refunded before the alert.
decline - the transaction for which the alert came is not successful.
reverse-error - can’t make a refund.
not-found - transaction not found.
acknowledged - merchant decided not to make any refunds.
pending - a temporary status that allows you to respond later (recommended within 24h) with method.
shipped - relevant for physical goods, where goods are already shipped.
null - the status has not yet been determined in the system.