A chargeback refers to the cancelation of a sale made via a non-face-to-face credit card transaction and the receiver of a contract (payer) receives an invoice for fraudulent use or other reasons and submits an appeal to the credit card company.

In such cases, sales of the sender of the contract (supplier) will be refunded even if services have already been provided, and as such may lead to losses.

Sender of contract

Supplier

Receiver of contract

Payer

(1) Request payment

(2) Use fraudulent card

(3) Provide service

Refund sales amount

Credit card company

Invoice sent to different payer

Submit appeal

Payment