January 9, 2018

Effective February 1, 2018 the Chargeback Fee Structure is CHANGING. The Point of Sale Chargeback Fee of $29.00 will be reduced to $19.50. This $19.50 Chargeback Fee will also be implemented on ALL recurring billing chargebacks, including membership billing, recurring service and club account. If you have any questions, please contact your Account Executive.


A Chargeback, also known as a reversal, occurs after a buyer, or cardholder, contacts their credit card company to dispute a charge that appears on their credit card statement. Chargebacks may be issued for a number of reasons. For example, the cardholder may dispute the charge claiming that goods or services were not delivered within a specified time frame, goods were not as expected, their card was charged multiple times, services were cancelled, a refund was supposed to be issued or a fraudulent transaction occurred.

After the customer has disputed the transaction, the credit card’s issuing bank will withdrawal the amount of the transaction from the merchant, in this case the club, and return it to the customer while this transaction is under review. The merchant, or club, will receive notification stating the reason for the dispute and be given 30 days to return any documentation and receipts to fight the chargeback and address the chargeback reason code. Additionally, the credit card company charges the merchant a chargeback fee for this process.

A Retrieval is a request to the merchant, or club, for information regarding a transaction. A retrieval request most often occurs when a cardholder loses their copy of the transaction receipt, does not remember the transaction or questions the transaction for any reason. During the retrieval process no money is refunded to the customer and the merchant has 14 days to provide the requested information. If a merchant decides not to respond to the request, it will automatically convert to a chargeback state and the merchant will not be allowed to dispute it at all. The customer’s money is then returned and the case is closed. There is a $10.00 fee associated with any in club Point of Sale retrieval requested. These fees do not apply to any inquires you or the customer make with ABC directly about a customer’s transaction.

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Chargebacks for Billing, Recurring Service and Club Account:

The chargeback department will automatically dispute all chargebacks for monthly billing transactions. ABC pulls the agreements on file or requests copies of the agreements from the club, uploads them to the appropriate processors system, and begins the dispute on behalf of the club. Monthly billing chargebacks are reported through CRS reporting. The CHARGEBACK SUMMARY Report is located on the Billing Tab in CRS. This report is available by date range and can be automated to deliver on a monthly or daily basis.

Chargebacks for Merchant Services (POS):

Chargebacks arising from ABC Merchant Services are pulled, reviewed in order to attach any pertinent information to the claim (i.e. member name, account number, invoice, etc.) and an email notification is sent to the club for review. The clubs are also mailed a hard copy of the dispute from TriSource with the basic transaction information (no member information is included). The club can decide if they wish to dispute these chargebacks. ABC requires clubs deciding to dispute these chargebacks to send documentation back to ABC’s chargeback department for us to upload it into TriSource’s system or to fax it directly to TriSource to begin the dispute process. Merchant Services chargebacks are not reported through CRS reporting, however, you will receive an email notification for each POS chargeback.