What Is a Credit Card Chargeback?
A credit card chargeback occurs when a cardholder asks their bank to reverse a charge. The bank temporarily pulls the funds while they investigate. You may or may not have the opportunity to defend the chargeback by providing evidence that the charge was legitimate. Defense deadlines are critical and can vary, typically 10–30 days from the dispute date.
Chargeback Reason Codes
Item Not Received → Photos of completed work, signed completion form
Item Not as Described → Signed contract/scope of work, before/after photos
Unauthorized Transaction → Signed authorization, ID collected at sale, communication records
Credit Not Processed → Show refund was processed, or why it wasn't owed
Duplicate Charge → Transaction records showing a single charge
How to Defend a Chargeback in Your Merchant Portal
Log into your Floorzap Merchant Portal → Disputes
Find the dispute using the Dispute ID from your notification email
Review the reason code, amount, and if you can defend against this dispute
Gather evidence:
Signed contract
Invoice
Photos of completed work
Delivery/installation confirmation
Written customer communication
Material purchase receipts
If applicable, Click "Defend Dispute" → upload files
Monitor and Wait for the card network decision (typically 30–90 days)
What Happens If You Lose?
The disputed amount is permanently debited from your Floorzap Payments merchant account, not directly from your bank account. Consequentially a chargeback fee of $15 is charged onto the account as well. Contact our payments team if you believe the decision was wrong — second-level review (arbitration) may be possible for large amounts.
Deposit Dispute Tips
The more documentation, the stronger the defense — a signed contract showing the deposit amount and non-refundable terms, your cancellation policy, and communication confirming the customer agreed to the terms.
Prevention Tips
Always use a signed contract before starting any job
For large jobs: deposit by credit card, balance by ACH
Communicate throughout the job — documented conversations are powerful chargeback evidence
Credit Card Chargeback Scenario:
In this example, the account is on a T+2 (transaction date plus two business days) funding delay and has taken a $1000 Mastercard payment with a $30 processing fee. A “4837 - No Cardholder Authorization” chargeback occurred which the merchant has up to 45 days for defense documentation to be provided. The table below will show the payment flow of the funds in question for reconciliation and account purposes.
Date | Action | Payment Amount |
May 26th | $1000 Card payment taken | $970 |
May 27th | Funds are in transit |
|
May 28th | Deposit Date | +$970 |
May 29th | 4837 - No Cardholder Authorization Chargeback Event & $15 Chargeback Fee applied on Merchant’s upcoming batch | -$970 Deducted |