Chargeback

A chargeback is a forced reversal of a card payment initiated by the buyer’s bank, typically when a customer disputes a charge as unauthorized or unfulfilled.

Chargebacks return funds to the buyer and often levy a fee on the seller, so a high chargeback rate signals payment or delivery problems and can jeopardize a merchant account.

For a transaction-anchored benchmark, a disputed and reversed payment is not a clean attested outcome and should be excluded from the index.