You’re accepting payments by card, tap, online and by phone, but what happens when a customer disputes a charge and you need to send money back?
Digital payments have become an essential part of your operations. However, when a dispute or demand for a refund arises, it’s crucial to know how to handle it.
Here are six easy steps you can take to ensure you prepare for and manage digital payment disputes effectively.
What Are Payment Disputes?
Payment disputes, at their core, are disagreements between a business and a customer about payment. They occur for a variety of reasons, ranging from simple misunderstandings to more complex issues such as fraud or breach of contract.
Common reasons customers dispute payments include:
- Billing errors. This can include incorrect charges, duplicate charges, or charges for services not rendered. These types of disputes can often be resolved quickly by reviewing the invoice and making any necessary adjustments yourself.
- Quality of services. In some cases, the customer may feel that the service did not meet their expectations. In these situations, it is important to have clear communication and a contract that outlines the terms of the agreement.
- Issues with payment processing. This can include unnotified late payment charges, unauthorized purchases, duplicate payments or subscription errors.
Regardless of the cause, payment disputes can be a headache for both parties involved. This is why getting ahead is key.
