Preventing Retrievals from Becoming Chargebacks

February 19, 2019
Theme Builder Layout 1

While most merchants are familiar with Chargebacks, there is something else called a Retrieval that, while less frequent, can lead to a chargeback. 

Retrievals occur when the card issuing bank is suspicious of a transaction and requests that the merchant provide more information regarding the validity of the sale. These can be initiated by a cardholder calling their bank and questioning charges, or by the bank if they believe the transaction is suspicious.  

When you as a merchant receive a retrieval request, they do not take the money from your account initially, as they would in a chargeback, but you will receive a letter from your processor requesting verification of the transaction. What they are looking for specifically will be outlined in the letter. Generally, they are looking for proof that the transaction took place and that there is a valid signature from the cardholder on the receipt.  

If you fail to respond within the specified time frame, the retrieval defaults to a chargeback, usually without the ability to dispute, and the money in question is taken from your account as a chargeback. 

As with chargebacks, our advice is that you keep copies of all of your receipts, as well as check ID with credit card purchases so that when they do come, you will be prepared.
For questions or more information, contact us by phone at (800) 644-3909 or email us at [email protected] 

-The Agapay Team

Related Articles

Choosing the Best Cashback Credit Card For You

Choosing the Best Cashback Credit Card For You

On the first part of this blog series, we gave an overview of what cashbacks are and why credit card companies use it as a popular and preferred rewards program especially during the holidays when shopping activity is very high.For this part, we will talk about...

read more
Understanding Cashback and its Perks

Understanding Cashback and its Perks

With the financial services market getting so thick and active, a lot of credit card companies and their partner retailers are scrambling to give out incentives to get more customers and retain their existing clientele. As shoppers, we have to pay more attention to...

read more

Subscribed and Stay Connected