Chargeback management for cards

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Early access

Chargeback management for cards is available in the early access. Please reach out to Recurly support or your account manager to enable this feature.

Recurly provides chargeback management capabilities for card transactions. Once chargeback is completed (accepted, lost, or expired) Recurly creates an external refund invoice and expires subscription.

Gateways supported

• Adyen
• Chase
• Stripe

More gateways will be available in the future.

Recurly chargeback process

1. Shoppers issue a chargeback with their issuing bank. Merchant can dispute or accept a chargeback through their gateway.
2. When chargeback is in the final state (lost or accepted) Recurly receives a “Chargeback Completed” event from a gateway.
3. Recurly creates an external refund invoice and a chargeback transaction
4. Recurly expires a shopper subscription.
   1. Note: If supported by gateway Recurly will only expire subscription only for fraud and service chargebacks.

NOTE: Recurly does not process chargeback reversals

How to enable card chargebacks

• Request chargeback management feature from support
• Select Create a refund transaction when a chargeback is received (default) option in the chargeback setting on the Invoice Settings page.
• You may optionally select to auto-expire subscriptions when a chargeback is received.

Special gateways setup or management

Adyen

1. Enable Adyen webhooks
   https://docs.recurly.com/docs/adyen#configuring-adyen-notifications-for-recurly
   1. (CHARGEBACK, SECOND_CHARGEBACK, DISPUTE_DEFENSE_PERIOD_ENDED)
2. Enable chargeback Adyen event: originalReference for CHARGEBACK_REVERSED
   https://docs.adyen.com/risk-management/disputes-api/dispute-notifications#enable-webhooks
3. Read more about managing Adyen Disputes in their documentation. Certain webhook status options will not be triggered without gateway management. For example: In order to ever receive a webhook with disputeStatus: "Accepted", you must go to your Adyen Dashboard and accept the chargeback.

Chase Orbital

To enable chargeback management with Chase Orbital gateway you need to provide Recurly access to Chase chargeback file reports. Please reach out to your Recurly contact for more information.

Service and Fraud Chargeback Code

Card brands have unique Fraud codes for each network. These codes include:

Fraud Chargeback Codes

Service Chargeback Codes

You can reference these codes on the Gateway's documentation pages:

• Adyen: Adyen Dispute Reasons and Defense Requirements
• In the case of Stripe, the chargeback status and code will be available in your Recurly Admin UI. Stripe dispute reasons are available in Stripe's documentation as well.