A dispute is a contested credit card transaction. A credit card dispute occurs when the buyer, who is the credit cardholder, contacts the card issuer, which can be a bank or financial institution, to dispute a purchase.
This measure aims to protect consumers against unauthorized purchases, fraudulent transactions, unauthorized charges, or issues related to the quality of the purchased product or service.
When a buyer opens a dispute, the card issuer initiates the process on behalf of the buyer, and the merchant (seller) has up to 7 calendar days to defend themselves if they can provide evidence of the legitimacy of the sales transaction.
A dispute can be opened for various reasons, such as fraud claims, disagreement with what was agreed upon with the merchant, or errors in the transaction processing. Once confirmed, after the 7-day period from the opening of the dispute without a defense from the selling establishment, the dispute becomes a confirmed chargeback.
If you have a dispute on one of your sales transactions, please refer to our comprehensive FAQ article on how to proceed in case of a dispute.