Our Policies
Chargeback Handling
At KwikPaisa NEO Bank, we ensure a secure and transparent transaction ecosystem. A chargeback is initiated when a customer disputes a transaction with their issuing bank. Our guidelines help merchants understand the process and respond effectively.
➤ What is a Chargeback?
A chargeback is the reversal of a payment by the customer’s bank due to:
- Unauthorized or fraudulent transactions.
- Goods or services not delivered or not as described.
- Billing errors, duplicate charges, or incorrect amounts.
- Disputes over refunds, cancellations, or returns.
➤ KwikPaisa NEO Bank's Role
- Notify merchants immediately when a chargeback is raised.
- Temporarily hold the disputed transaction amount until resolution.
- Provide a dashboard for merchants to submit supporting evidence.
- Forward evidence to acquiring banks and card networks.
- Communicate the final resolution once the bank completes its review.
➤ Merchant Responsibilities
- Respond to chargeback notifications within 3 business days.
- Provide complete and valid supporting documents: invoices, delivery receipts, and customer communications.
- Maintain accurate product/service descriptions and clear refund/return policies.
- Keep transaction and customer records for at least 180 days.
➤ Chargeback Phases & Turnaround Time (TAT)
The chargeback resolution process follows these phases:
| Phase | Timeframe |
|---|---|
| Chargeback | T+3 Business days |
| Pre-Arbitration | T+2 Business days |
| Arbitration | T+1 Business day |
➤ Chargeback Documents
Merchants must submit all required documents as per the bank’s instructions. KwikPaisa NEO Bank will represent the dispute on your behalf. Banks generally provide a window of 3 business days to submit the documents. Failure to do so may result in increased chargebacks lost.
➤ Best Practices to Reduce Chargebacks
- Enable 3D Secure / OTP verification for all online transactions.
- Maintain clear and consistent billing descriptors.
- Provide accurate product/service descriptions and photos.
- Offer prompt refunds for legitimate cancellations or disputes.
- Monitor for unusual transaction patterns to detect potential fraud.
- Communicate proactively with customers to resolve issues before escalation.
Important: Timely response is critical. Non-compliance with submission deadlines may lead to automatic acceptance of chargebacks and debiting of disputed amounts.