Have you purchased something from online shopping? or done a transaction in which you realized that your cheated? Well, Not any more! Now with chargeback policy from your bank, you can claim your money back. Well there are some limitations of it as well but if you do it correctly then you would get your money back instead of losing it.
Chargeback — Advantages
You can get the full money back to your bank account. - No limitations in the amount.
- All the Credit cards as well as most of the Debit Cards are eligible.
- Tension-free process.
Chargeback — Disadvantages
- You should dispute before 60-120 days. (Depending upon the bank)
- Some bank’s branches won’t be even what chargeback is, so you should force them to escalate the issue to head office.
- It takes 90 days for the chargeback case to be resolved. (Depending upon the case & card company)
- Some Debit cards won’t have this facility.
Credit Card or Debit Card Chargeback
Its a simple process (yet complicated ways) in which you dispute the transaction occurred on a card payment & reverse the transaction. Depending upon the bank, you should make the dispute as early as possible to avoid any problems. Its a fact that we can’t check if the seller is a good person or not — no matter how the rating/feedback, so our card providers has given us a very good policy called as Chargeback Policy & yes it is available in both VISA & MasterCard users. Here are the tips and instructions to do.
- If your product or services hasn’t arrived at the time they promised, Just ask about the status — try to cancel that order since they have crossed the delivery time. If its a shipping related delay then get the tracking code (Now a days we can track all parcels through online) — If the tracking site gives you the information then wait for some more days, else instantly ask for refund & proceed with a chargeback if seller refuses to pay.
- To make a chargeback, Make sure visit your nearest branch within 30 days or if possible visit the Regional Office/Head Office of the bank, as the people working in main branches would likely know about it. To be frank, when I went to the local branch, they don’t have a clue about it & the person who was dealing with me had to call to the head office to get the confirmation. Seriously, Don’t loose your hope if they say such a service isn’t available, You should convince them by saying that — you know all these process, and you joined the bank just as to have this card which already covers these policies for your own protection.
- Once they agree, you likely need to fill up a form/request in a white paper about the transaction(s) that are affected. Its best to prepare it from your computer itself & print since you don’t want to miss out any transaction ID(s) and is a convenient way to just copy paste the details from your net banking itself. Now this is an important thing, Make sure you attach the evidences — For example, Invoice or if the problem is related to a scam then attach the copies of all the conversation that took place.
- Final result can be heard only after 30-90 days depending upon the card issuer.
Tips for future
- Use a prepaid online credit card like Entropay to send payments to people who are not sure of. Why? Because Entropay has an in-built dispute department that can absolutely give you back your money within 90 days of complaint registration. $5 fee is applicable to each transaction you dispute.
- Get a good credit card with dedicated limits — like VISA GOLD, PLATINUM. Why? Because these cards supports good chargeback policy and can give you back your money back with no loss (Mostly without any currency fees). Read/Enquire about this feature before you take the card from your bank.
- Make sure you buy from good online shops such as eBay — I referred eBay because not only that you get cheap/affordable products, you have their buyer’s protection too. So if any problem is there then you can file a case to them by using your account.
- If its an online payment then pay through famous processors like PayPal as they all have chargeback policy.