Payment disputes occur when customers contest transactions through their bank. Understanding how to manage these disputes effectively is crucial for maintaining your business operations.

Common Reasons for Disputes:

• Fraudulent charges
• Unreceived refunds
• Duplicate transactions
• Product/service not received
• Quality issues
• Subscription cancellation issues
• Unrecognized payments

When a dispute occurs, two things happen immediately:

1. The disputed amount is debited from your balance
2. An additional $20.00 USD fee is charged

Queries vs. Chargebacks: American Express and Discover often create queries (requests for information) before chargebacks. Unlike chargebacks, query charges aren't deducted unless you lose the case.

Managing Disputes:

• You'll receive email notifications when disputes are filed
• Response deadlines range from 20-45 days
• Reminder emails are sent 5 days and 2 days before deadlines

Dispute Statuses:

• Open dispute
• Response submitted
• Missed deadline
• Dispute won
• Dispute lost

Handling a Dispute:

1. Contact the customer first to find a solution
2. Choose to accept or contest the dispute
3. If accepting, the chargeback processes automatically
4. If contesting, submit evidence such as:
   • Refund policy documentation
   • Denial explanation
   • Tracking numbers
   • Customer communications
   • Other relevant proof

Important Notes:

• Refunds aren't possible once a dispute opens
• Non-response results in automatic chargeback
• Decisions typically take 60-75 days
• Winning a dispute returns the transaction amount
• Chargeback fees may not be refunded even if you win

To Submit Evidence:

1. Open Finance panel > Orders
2. Click the disputed payment
3. Select "Start dispute response"
4. Provide evidence
5. Save as draft or submit

Remember to respond within deadlines to protect your business interests and maintain good customer relationships.

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