In addition to the actions described in What is a chargeback?, you can also provide the following evidence:
Evidence of the cardholder’s actions
- Signed contract that states the terms under which the cardholder could have canceled the service
- Evidence that the cardholder is using the goods or services
- Evidence that the cardholder canceled within the same month that you issued billing and provided partial services
- Evidence that the cardholder did not attempt to cancel the services
- Evidence that the cardholder cancelled on the same day as the transaction
Evidence of your actions
- Legally binding contract between you and the cardholder
- A previous transaction that the cardholder has not disputed
- Evidence that you issued a refund before the chargeback because the cardholder canceled the service
- Evidence that you bill the cardholder after you provide services
- Evidence that the transaction date was before the cancelation date
What can I do to help prevent chargebacks?
In addition to the best practices described in How can I avoid chargebacks?, we recommend you follow these best practices:
Do:
- Cancel recurring billing as soon as the cardholder notifies you that they want to cancel
- Make sure your billing and cancelation terms are clear in the recurring billing contract
- Bill the cardholder for the correct number of instalments and for the correct dollar amount
Don’t:
- Bill any instalments sooner than the date you agreed with the cardholder
- Bill the cardholder after they have cancelled their instalments or after their contract has ended
Let us know if this answered your question. If not, please let us know why!
Tags: chargeback process, dispute, defend chargeback, avoid chargebacks, cancel billing, recurring billing, service based