The subject of chargebacks is one of the most talked-about debates in the payments space. Consumers actioning chargebacks is an unavoidable reality that merchants must deal with, but if not managed properly, chargebacks can be challenging, time-consuming and costly.
Originally introduced as a consumer protection tool with good intentions, the ease of the chargeback process completion has led to widespread abuse of the mechanism. Although merchants can’t avoid or eliminate chargebacks, they can take measures to mitigate, reduce and manage them to ensure they don’t cause significant damage to the business.
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