Dispute

A dispute is a type of consumer protection mechanism where if either the issuer or cardholder deems a transaction to be unauthorised or illegitimate, funds can be removed from the merchant’s account and returned to the cardholder. This can be costly for merchants both from a price, in the form of a chargeback fee which can range from $5 to up to $100, and also time perspective where the merchant must gather evidence to support their case.