Chargeback rebuttal letter 2024 (guide & Free samples)

This post covers a chargeback rebuttal letter. 

For merchants, the rising number of chargebacks is becoming an even bigger issue, especially as the rise of eCommerce means that more and more transactions are taking place online rather than in person, creating a higher opportunity for fraud, logistical errors, and other situations that can result in chargebacks.

In 2020 merchants lost almost  17.5 billion due to chargebacks (source)

Many customers use the chargeback option without realizing it’s not the same as a refund, and some do so to avoid the customer service returns process.

As a Merchant, you should be aware of the growing damage this can cause and how you can avoid becoming one of the many alarming chargeback statistics.

How to dispute a chargeback as a merchant?

As a merchant, you need a strong credit card chargeback rebuttal letter to successfully dispute a payment card chargeback. Illegitimate chargebacks can be challenged through the representation process, but a strong rebuttal letter is necessary if you want the chargeback to be reversed.

Remember that your rebuttal letter is only one component of the representation process.

It must be accompanied by other supporting documentation, such as a Chargeback Adjustment Reversal Request, as well as compelling evidence to support your claim, in order to have a chargeback reversed.

These components work together as a whole; omitting any of them may jeopardize your case.

In this post, I will go over everything you need to know about chargeback rebuttal letters and offer advice on how to write an effective one.

I’ll also look at some common mistakes merchants make when writing chargeback rebuttal letters and provide a sample letter for your convenience.

The following is what I will cover in this post

• What is a chargeback rebuttal letter?
• Why do you need a strong chargeback rebuttal letter?
• How to write a chargeback rebuttal letter
• Format of chargeback rebuttal letter
• Chargeback rebuttal letter template
• Sample chargeback rebuttal letter
• Chargeback rebuttal letter pdf

Let’s get started

What is a chargeback rebuttal letter?

A chargeback rebuttal letter is a brief statement of facts written by a merchant to a consumer bank to dispute and challenge the validity of a chargeback made in favor of the consumer.

This situation-specific letter is part of a dispute response package that includes compelling evidence to back up your case and a completed Chargeback Adjustment Reversal Request form.

The rebuttal letter will be the first thing someone at the issuing bank sees when evaluating your case.

First impressions matter and your letter will influence how the evaluator views your case and the final decision.

Why do you need a strong chargeback rebuttal letter?

Without a strong chargeback rebuttal letter, your business is dying.

Did you know that

• 81% of chargebacks filed have no valid reason (source)
• customers who have a successful chargeback are nine times more likely to repeat it
•  merchants lose money on each chargeback

Therefore, you need a strong chargeback rebuttal letter to vehemently dispute all unreasonable chargebacks, stop repeated chargebacks and save a lot of money for your business’s prosperity.

A well-written rebuttal letter will help you summarize your case in a concise, compelling, and convincing manner.

regardless of the evidence that you have, presenting a compelling case for why the chargeback should be reversed increases the likelihood that the bank will rule in your favor.

Your letter should highlight your key pieces of evidence, summarize all of the supporting documents you’ve provided, and make your case clear.

How to write a chargeback rebuttal letter

A chargeback rebuttal letter is written in the format of a business letter. Begin your letter by providing your address and contact information, followed by a date and the bank’s address, and stating that you are writing to dispute a chargeback (provide the chargeback details) and the reasons for your dispute. Finish with “Best Regards,” then your name and signature.

Don’t forget to include any necessary documentation to back up your claim.

REMEMBER! A chargeback rebuttal letter’s main purpose is to contest the chargeback and have it reversed.

Do the following to write an effective chargeback rebuttal letter;

• Provide your name and contact information
• Provide Merchant ID number
• Include the date of the letter
• Include the bank address
• provide the chargeback reason code
• Include the customer’s name
• Provide the exact amount you are disputing
• Attach documents, records, or other proof for easy reference.
• A summary of your evidence and how it demonstrates the original transaction’s legitimacy
• Give a brief description of the goods or services you sell, as well as the setting in which they are purchased (online, over the phone, as part of a subscription, etc.).
• Include a call of action-Formally state what you want to happen/archive
• Be straightforward
• Maintain a professional tone
• Be honest

Format of chargeback rebuttal letter

The following is the format for your chargeback rebuttal letter;

• Your Address
• Date
• Bank’s address
• Subject line
• Salutation
• [opening paragraph]- A statement that you are writing to dispute a chargeback (provide the details of the chargeback for easy reference)
• [body paragraphs]- description of the transaction, a summary of the evidence, and other relevant facts to support your claim
• [closing paragraphs] – call of action
• name and signature

Chargeback rebuttal letter template

MERCHANT’S LETTERHEAD

January 20, 20…

[Credit Card Company or Bank Issuer Name]
[Credit Card Company or Bank Issuer Street Address]
[Credit Card Company or Bank Issuer City, State, and Zip Code]

Re: Chargeback rebuttal

We are writing this rebuttal letter to dispute the chargeback with the chargeback reason code [enter code and reason]

The aforementioned chargeback occurred as a result of a legitimate purchase of [description of item] from our store [or online store] on [transaction date].

We firmly believe that the said chargeback is totally unreasonable because the purchase was voluntarily initiated by the cardholder and the product(s) were duly delivered.

We have included the following evidence to support our claim

• [Digital receipts displaying the purchase made by the cardholder]
• [Additional receipts, as well as IP address and data proving that the cardholder initiated the purchase]

We believe that our evidence shows that the chargeback was initiated with the cardholder’s full knowledge and consent and that the product was delivered accordingly; therefore, we request that you reverse the chargeback as soon as possible.

Please let us know if you require any additional information about this case. We will gladly provide it.

Sincerely,

[Your name]

[Your company name]

[Your business contact information, including email address and phone number]

Sample chargeback rebuttal letter

MERCHANT’S LETTERHEAD

January 20, 20…

[Credit Card Company or Bank Issuer Name]
[Credit Card Company or Bank Issuer Street Address]
[Credit Card Company or Bank Issuer City, State, and Zip Code]

Re: Chargeback rebuttal

We are writing to dispute the $1980 chargeback with the chargeback reason code 30 Services Not Provided or Merchandise Not Received.

The aforementioned chargeback occurred on January 19, 20., as a result of a legitimate purchase of the Driving Manual from our online store drivingmanual.com.

We believe that the chargeback is completely unreasonable because the cardholder voluntarily initiated the purchase and the product was delivered.

To back up our claim, we’ve included the following evidence.

• Attachment A: a digital receipt from the cardholder’s purchase.
• Attachment B: IP records from the time of purchase showing that the purchase came from the cardholder’s area and from their Internet Service Provider (ISP).
• Attachment C: A delivery confirmation receipt showing the cardholder’s signature and a delivery date of January 19, 2021. at 6:31 pm

We believe our evidence shows that the chargeback was initiated with the cardholder’s full knowledge and consent and that the product was duly delivered; thus, we request that you reverse the chargeback as soon as possible.

If you require any additional information about this case, please let us know. We will gladly supply it.

Sincerely,

John Henry
Sales manager
drivingmanual.com.
198-2222-222|henry@drivingmanual.com

Chargeback rebuttal letter pdf

Download a free Chargeback rebuttal letter (pdf)