Consumer Dispute: Process
2. Card issuer credits consumer
and sends debit to merchant bank
3. Merchant’s bank debits
- Consumers are encouraged to try to work out the problem directly with the merchant. If that fails, they contact the card issuer, describing the dispute.
- The issuer credits the consumer, then “charges back” through the Visa system to the merchant’s bank.
- The merchant’s bank (Acquirer then debits the merchant.
- The merchant has an opportunty to rebut the chargeback if appropriate. The Acquirer then “re-presents” the charge to the issuer along with documentation supporting the representment.
- The Issuer contacts the consumer with the new information. The consumer either accepts the charge or continues to dispute it. If the consumer still disputes the charge, it is charged back a second time.
- The merchant may then pursue any civil remedy available.