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Handling Chargebacks

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CS
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In this guide:

 

 

Note: If you have not yet set up notifications for chargebacks (for yourself or a relevant team member), please see our guide Apaleo Payment: Adyen Login and Notification Activation.

Handling and Defending a Chargeback in Adyen Essentials

Adyen sends out notifications directly to you, when a guest claims back a payment. Once you receive such a notification, you can log in to your Adyen merchant account to view the details there:
Risk > Disputes.

  1. Click the Dispute PSP reference, first column, to access the details of a specific chargeback.
  2. After reviewing the details, you can click the blue button Handle chargeback on the top right.
    Here you have two options.
    mceclip0.png
    • Compelling Evidence
      You have the opportunity to upload all documents, screenshots and scans that you have available to prove that the chargeback is NOT justified. Provide Adyen with details that prove that the guest has stayed with you or consumed whatever you have charged him for.
      Depending on the payment method you have 14-40 days to provide compelling evidence, before the chargeback is confirmed. In cases of fraud chargebacks, where defences are more difficult, check our guide Defending Fraud Chargebacks first.


    • Accept chargeback
      If the chargeback is justified or you already know that the transaction is fraudulent, choose this option.

Managing Chargebacks in Apaleo

Currently, chargebacks cannot be reflected automatically in Apaleo. If you do not take action in the folio, the original payment will keep appearing as successful.

If a payment is subject to a chargeback, you will not be able to refund the payment in Apaleo, in order to balance/correct your folio.

So if a chargeback is successful from the guest's perspective, meaning you have lost the dispute or have agreed to it, you will have to post a manual refund in the Apaleo folio. The refund via the three dots will not work.

Post such a manual refund by selecting: Actions > Refund > Payment. Then select the correct payment method and enter the respective amount.

Once completed, the amount of the original payment is balanced in your Apaleo accounting. Please consider discussing these cases individually with your accounting department to also verify how to handle the charges (accomodation/F&B etc.), that remain "unpaid", after refunding the payment manually.

 

Frequently Asked Questions

I successfully defended a chargeback. Why were the Chargeback Services Fees not refunded?

For every Chargeback, a non-refundable Chargeback Service Fee will be charged to the Merchant as set out in the Merchant Agreement with the payment processor. These costs are associated with processing a chargeback, and are not affected by the outcome. This means that even in cases where you successfully defend a chargeback and get the money back, you will not be refunded the Chargeback Service Fees. 

 

How come there was a Second Chargeback after I defended a Chargeback and got my money back?

When you submit a chargeback defence, the disputed amount is transferred back to your account and in Adyen you will see the event ChargebackReversed. It is important to note, however, that the event ChargebackReversed does not yet mean that the defense was successful. In this stage, the issuer (the bank) reviews the defense. If they accept the defense, or the issuer response timeframe expires, this is the final stage. However, if they do not accept the defense, then you will see the event SecondChargeback, and the disputed amount will be withdrawn from your account again. 

 

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