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What is a merchant chargeback?

07 Jun 2022 By PAYCEC

When a merchant believes the transactions are valid or has already granted a refund, he or she will make a representation, or resubmit the transaction. If the cardholder and merchant (and their respective banks) cannot agree, either party can seek arbitration from the card network, which will make a final decision. Arbitration occurs only after the transaction has been represented and the customer has filed a chargeback.

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