Disputed payment- will this be automatically returned?

Allow me to share some insights on how to handle disputed payment, @mt2018.

A chargeback will occur when a transaction you processed gets disputed, and the money goes back to the payer. When this happens, we'll email you instructions and deadlines if you get a chargeback or retrieval notice. We include the case number, email address, fax number, and how to send your response.

We require you to reply with a letter that directly responds to the reason for the cardholder’s dispute. This way, we'll know your side of the dispute. 

Based on the reason for the chargeback, you may also want to provide supporting documentation to back up your rebuttal letter. If you email your documentation to us, use PDF format so we get the best quality images.

Please know that the system will only process the debit automatically when the chargeback is sent to QuickBooks Payments. The transaction is passed to the merchant when the card-issuing bank has met all of the requirements. This aligns with the terms and conditions outlined in the agreement you agreed to upon signing up and activating your account.

Since your customer already agreed to set up the service, you can have them contact their financial institution to cancel the chargeback. Then, refund the payment. For detailed steps, you can utilize this article: Record a customer refund in QuickBooks Online.

Additionally, you may check out this reference to help manage chargebacks and retrieval requests for QuickBooks Payments: Learn what a chargeback is and what to do if you get one.

If there's anything else that I can help you with, please don't hesitate to leave a comment below. I'll be more than happy to assist you again.

We are not disputing their claim.  I just would like to know if there is anything i need to do or will Quickbooks just give the money back on the deadline date?

Thanks for getting back to us, @mt2018. Let me chime in and clarify a few things.

When a customer disputes a charge with their bank or credit card company, the financial institution notifies QuickBooks Payments. Then, we'll eventually email you about chargeback notices or retrieval requests. Thus, the program asks you to submit evidence.

You’ll want to follow the instructions mentioned in the email to know the course of action you need to take to settle the payment. Bear in mind that the bank makes its decision based on the evidence presented by you (the merchant) and your customer (the cardholder).

You can read this article to learn more about chargeback and what to do to resolve it: Handle chargebacks and retrieval requests for QuickBooks Payments.

Furthermore, you can contact our Payments Support team if you need more assistance and confirmation about the refund process.

Intuit's QuickBooks Payments offers a new protection program in which chargebacks are automatically forgiven. It's designed to help protect businesses against unforeseen chargebacks, regardless of fraud, no questions asked. Just check your eligibility for enrollment and sign-up.

You can always get back to this thread if you have other concerns or questions about managing your online transactions. I'll be more than happy to assist you again. Keep safe!