Overview

A chargeback is a payment reversal by the card issuer when the cardholder disputes a transaction on their account.

When the cardholder disputes a transaction, the payment will be provisionally reversed pending acceptance or successful defence by the property.

Chargeback Management is available in RMS when using RMS Pay as the payment gateway to simplify viewing, accepting, and defending chargebacks issued to property.

Accepting a chargeback confirms the property's acknowledgement that the payment taken can be rightfully returned to the cardholder without dispute.

Defending against a chargeback will require uploading defence documents, which vary based on the dispute type and card type.

Submitting a defence against a chargeback with documentation does not guarantee a win, and the card issuer will determine the outcome.

Chargeback Reduction

Review the Chargeback Reduction information for ways to minimise and reduce the occurrence of chargebacks against legitimate transactions.

Payouts and Settlement

When a chargeback is issued to a property using RMS Pay, the bank will deduct the value of the disputed transaction until the property successfully defends it.

The chargeback amount will be deducted from the RMS Pay payout amount for the Accounting Date the chargeback is issued.

If the property successfully defends the chargeback, the bank will return the funds, and the chargeback value will be included in the payout amount for that Accounting Date.

RMS Pay Settlement Report

The RMS Pay Settlement Report can be used to view transactions processed using RMS Pay and the forecasted payout amount.

If a chargeback or refunds processed for a particular accounting date are greater than the number of payments taken, the payout amount will be in a negative value, and no funds will be transferred.

The payout amount for RMS Pay is a cumulative balance, and any debits will be charged to future accounting dates. No payout will occur until there is a credit balance from transactions processed using RMS Pay.

Accept Chargeback Guide

Go to Accounting > RMS Pay > Chargebacks.

1. Select the Chargeback Status Filter as Undefended.
2. Double-click a Chargeback to view.
   
    
3. Select the  'Accept' icon.
   
    
4. Select 'Yes' to confirm.
   

Confirmation of the chargeback will be sent to the card issuer, and the provisional return of funds to the cardholder will be finalised.

No further action is required by the property.

See Defend Chargeback for information on defending against a chargeback on a legitimate transaction.