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Disputes

  • Updated

Handling and managing disputes is a critical part of maintaining customer trust and ensuring smooth financial operations. The NanoKard platform offers sophisticated tools and clear guidelines to help you address and resolve disputes efficiently. This article will guide you through the processes and best practices for managing chargebacks and retrieval requests on the NanoKard platform.

What this article covers

  • Navigating to the Disputes pages
  • Types of disputes
  • The NanoKard chargeback process
  • Viewing and managing chargebacks
  • Viewing and managing retrievals

Navigating to the Disputes pages

On the left sidebar menu, there is a selection labeled Disputes. Under Disputes in the navigation, there are two sub-pages: Chargebacks and Retrievals. These areas are where your customer's chargeback and retrieval requests can be viewed and disputed should you decide to do so.

 

Types of disputes

  • Chargeback is a formal request placed by a customer through their bank to have funds for a charge returned to their bank account. There are many reasons for this, with the primary reason being that they don't recognize the transaction. Others can be that the customer is dissatisfied with the product, or they believe that someone else fraudulently used their bank card.
  • Retrieval is an informational request from a customer via their bank to receive additional information regarding a transaction that they do not recognize. This is generally a precursor to formally requesting a Chargeback if the customer still does not recognize the transaction. However, retrieval requests are not common, and many customers often skip this step and go straight to a Chargeback request.

The NanoKard chargeback process

  1. The customer contacts their bank to initiate the chargeback.
  2. The customer's bank communicates the chargeback to NanoKard
  3. The NanoKard team creates the new chargeback in your account and removes the money in question, including a chargeback fee (determined by your NanoKard agreement). You will also receive an email to alert you of a new chargeback.
  4. From the email, you can provide the reason code for the chargeback, the amount of the purchase, the date, and you can attach any additional evidence to dispute the chargeback such as signatures, videos of the customer in-store, etc.
  5. NanoKard then sends the evidence to the customer's bank.
  6. The customer's bank determines the chargeback decision based on the evidence provided and informs NanoKard of the verdict.
  7. NanoKard then provides the decision to you via email. You can also monitor the status of the chargeback in the Chargebacks table.
  8. If the decision is in your favor, then the money that was on hold goes back to your wallet as available funds.
  9. If the decision is not in your favor, the money and chargeback fee (determined by your NanoKard agreement) are not returned to your wallet. NanoKard will send you a notification of the chargeback resolution, and it's up to you whether you want to communicate this back to the customer.

Warning: Merchants must take chargebacks and retrievals seriously. Ignoring a retrieval request disqualifies a merchant from responding to a later chargeback. Provide ample evidence for both. Excessive chargebacks can lead to revenue losses, required reserve accounts, or being placed on Mastercard's MATCH list, making future processing difficult.

Viewing and managing chargebacks

Under Disputes in the sidebar navigation, select Chargebacks to view current and previous chargeback activity.

From the Chargebacks page, you can view your merchant chargeback metrics for a specified date range (Today by default). The metrics include:

  • Cases Received (Total number for the selected time period)
  • Cases Pending (Total cases that are in process awaiting judgment)
  • Cases Won (Cases that you as the merchant have won)
  • Cases Lost (Cases that the customer has won)
  • Dispute Accepted (Total number of cases lost during the time period)
  • Chargeback % (This number is derived from the total number of chargebacks divided by the total number of transactions for the specified time range).

Below the metrics, there is an at-a-glance summary view of chargebacks for each location or account you have access to. You can use the search field to narrow results. To view specific chargeback cases, select the location to which the chargeback was registered to see a table showing all cases. 

Viewing and managing retrievals

Under Disputes in the sidebar navigation, select Retrievals to view current and previous retrieval activity.

On the Retrieval page, you can view:

  • Cases Received
  • Cases Pending
  • Cases Closed

Note: There is not an option to select a time period for results as there are often very few retrievals requested.

As with the Chargeback page, the Retrieval page also has a summary section below with status counts associated with each location. You can also use the search field here to search for specific locations or wallets to view.

Next, you can read more about Viewing your funding schedules.

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