Chargeback requests received by Digital River most often originate with customers noticing what they believe to be an unauthorized transaction on their statement and then contacting their bank to dispute the charge. Other common reasons for chargeback requests include:
A credit was not processed by an expected date
The ordered goods never arrived or the service was not provided
The merchandise was defective or not as described
A service was not performed as expected
Once the dispute process is initiated, the bank, acting on behalf of the customer, may contact the merchant and ask for more details. Depending on the results of that inquiry, the bank then sends a separate request to the payment processors that either seeks additional information or pushes for a chargeback. The payment processors, serving as intermediaries, relay the bank's request to Digital River.
Once Digital River receives the relayed request, we move the order'sstate into dispute, create an order.dispute event, and populate stateTransitions.dispute with a timestamp. This is true whether the bank is requesting a chargeback or simply seeking more information.
{"type": "conflict","errors": [ {"code":"order_not_submitted","parameter":"orderId","message":"Order '1002363590082' has not been submitted." } ]}
400 Bad Request
{"type": "bad_request","errors": [ {"code":"invalid_parameter","parameter":"order","message":"A refund cannot be performed while there is a dispute on the order." } ]}
409 Conflict
{"type": "conflict","errors": [ {"code":"invalid_parameter","parameter":"order","message":"A return cannot be performed while there is a dispute on the order." } ]}
Digital River's chargeback team then works with the merchant to investigate the disputed transaction and prepare a response. This typically involves gathering proof of delivery receipts, customer acceptance emails, order invoices, as well as any other relevant documentation, and then sending that information to the payment processors so they can relay it to the bank.
Once the dispute is resolved, the order resumes its lifecycle, transitioning to a non-dispute state. This results in the creation of an order.dispute.resolved event.
If no chargeback is issued, then the order reverts to its pre-dispute state. At this point, you can perform returns, refunds, as well as capture or cancel any remaining charges.
If a chargeback is granted, then a refund is issued to the payment method used by the customer to make the purchase. In these cases, an order'savailableToRefundAmount is either reduced or drops to 0. In the event that availableToRefundAmount is only reduced, any remaining amount can still be refunded to the customer by submitting a POST/refunds.
When Digital River processes and completes a chargeback, we create a sales transaction with a type of fraud_chargeback or non_fraud_chargeback and send you both a sales_transaction.created and order.chargeback event.
