Chargeback is the written complaint of customer via issuing bank about product/services purchased online from merchant and issuer raises dispute (forced refund) through interchange agency (VISA/Master/NPCI) & interchange agency immediately debit Acquirer Bank (i.e. Payment Gateway) for the disputed amount.
In return acquiring bank (here Internet Payment Gateway of Bank of Baroda) debit the merchant’s account and ask for supporting documents from merchant. After getting the desired documents within time frame, successful re-presentment at interchange portal by acquiring Bank will enable to get back the disputed amount. Each step of chargeback/representment is time bound process as set by interchange agency (VISA/Master/NPCI).
Chargeback may be Financial/Non-Financial and can be raised for many reasons like duplicate payments, processing errors, authorization issues, fraud and non-fulfilment of copy requests.
If cardholder is still disputing after debiting his account and receiving documentary proof from merchant then he can go for arbitration/2nd chargeback through his issuing Bank. The case will then forwarded to VISA/ MasterCard/NPCI appellate authority (Arbitrator) who will check all the documentary proof submitted by both i.e. issuer & acquirer and will be the final deciding authority.
For responding and raising chargeback a definite timeline is there and is subject to change by Visa/MasterCard/NPCI.
For any chargeback cases raised against merchant transactions of Internet Payment Gateway of Bank of Baroda, you have to contact your issuing Bank and for any further query or issue you may contact the BOB nodal officer after the stipulated time given by Visa/Master/Rupay NPCI for redressal of dispute.
Nodal officer details as below:
Name: Chief Manager IPG Operations
Phone No. 0265-2316234
Bank of Baroda will charge per transaction fee, AMC, onetime integration setup fee and security amount. These depends on the various parameters like merchant category code, mode of payment, type of card, amount of transaction, interchange agency, risk rating, origin of the card (domestic or international) etc. which can be given after receiving the complete details of the merchant.
Merchant best practices:
Merchant should have clear refund, reversal, shipping, billing, privacy and service policy with contact details in their website and mobile application.