Understanding and Preventing Chargeback Fraud

Chargebacks have become a significant concern for online businesses in recent years. These occur when a customer disputes a charge on their credit or debit card, resulting in a reversal of funds from the merchant's account back to the customer. Originally designed as a consumer protection measure against unauthorized transactions, chargebacks have evolved into a double-edged sword, often significantly impacting merchants' bottom lines and complicating their payment operations.