credit card chargeback

Let me help you handle chargeback for QuickBooks Payments, @adc9.

Chargebacks can occur for several different reasons. It can be a result of an error, fraud, or a dissatisfied client. They may end up costing you time and money if you don't handle them appropriately. Here's what you do if a payment you processed using QuickBooks Payments is charged back.

The financial institution notifies QuickBooks Payments when a consumer disputes a charge with their bank or credit card company.

When QuickBooks receives a chargeback, it analyzes the card for credits. In some circumstances, we are unable to match the chargeback to the credit:

• If the sale and refund amounts are different.
• If you (the merchant) issue a credit to the card after the chargeback posts to your account. If this happens, send a copy of the credit issued to the card or proof that a refund was given (such as the front and back copies of the cashed refund check).
• If you issue a refund outside your QuickBooks Payments. If this happens, send proof of that payment to us.\

The customer's card issuer credits the cardholder with the amount of the initial transaction if you didn't provide a credit or if we can't match the credit to the chargeback. You, the merchant, are then debited for the credited amount plus a $25 fee. This charge is not fine. It serves to pay for associated expenses.

We'll email you if there are any chargeback notices or demands for retrieval in this situation. You will receive explicit directions on what to do next in the email, so don't worry.

You can check this article to learn more about handling chargebacks for QuickBooks Payments: Handle chargebacks and retrieval requests for QuickBooks Payments.

If you have additional questions about chargeback, you can contact our Payments or Point of Sale Support.

Let me know if you have additional questions about chargebacks. I'm always here to help. Have a great day.

I understand why there are chargebacks.  Quickbooks does not handle any credit card processing for me. Nor do they do payments.  This is an accounting question.

I simply need to know how to get reverse the fee from my books.  

Its very similar to a returned check.  How to I "return the credit card" transaction. This is all I need to know.  

I agree with you, all I am trying to find out is how to handle a credit card chargeback and the fee with it.  Quickbooks is not my credit card company.  Not too hard to try to lead us in correct direction.

I'm glad to see you joining this thread, @lsamble. Allow me to chime in and provide additional information about how to handle chargebacks in QuickBooks.

Although QuickBooks is not your credit card provider, if you use QuickBooks Payments and process a chargeback, QB is still a part of that.

If you receive a chargeback, don't issue a credit to your customer’s card or any other type of refund, such as a check or cash. The financial institution notifies QuickBooks Payments when a customer disputes a charge. The process will depend if it's a retrieval request or a chargeback.

You'll receive the instructions via email as soon as QuickBooks gets notified by your customer's bank. The article provided by my colleague above provides detailed information about this. In case you need the link, I'm adding it again (scroll down to Step 2): Handle chargebacks and retrieval requests for QuickBooks Payments.

You can also visit this link to know more about handling the chargeback in QuickBooks Payments: What is a chargeback?

Hit me up if you have follow-up questions about payment disputes in Desktop. I'm available anytime in this public forum. Take care.

I do not use Quickbooks payments.  Quickbooks has nothing to do with my payments.  It is from a private institution.  

Let's fix the issue you're having about handling chargebacks in QuickBooks Desktop (QBDT), adc9. 

We can create a write check affecting Accounts Receivable. Then create an expense fee for the chargeback in QBDT. By doing so, it will create a positive balance on the customer profile. This way, it will take out money from the affected bank as well as record the fee for the chargeback. 

Here's how to create a write check:

1. Click Banking.
2. Choose Write Checks.
3. Select the Bank account where the check will be posted.
4. Enter the name of the customer in the Pay to the Order of.
5. Type in the total amount of the refund or credit.
6. In the section for Memo, enter the Credit Memo numbers.
7. Go to the Expenses tab.
8. Choose Accounts Receivable in the Account column.
9. Enter the amount of the refund and the name of the customer.
10. Once done, click Save and Close. 

I also recommend seeking expert advice from an accountant for more options. This ensures your books are accurate.
 

I've added this article for more information about handing chargeback in QBDT: Handle chargebacks and retrieval requests for QuickBooks Payments.

Let me know if you need more assistance with handling chargeback in QBDT.  I'm always glad to help in any way I can. Have a great rest of the day!

How do i handle a credit card charge back when not using QB Merchant?  Currently using QB Desktop Enterprise Solutions Retail 2023

Hello, @abeauregard! Allow me to provide you with a step-by-step guide for recording a credit card chargeback in QuickBooks Desktop (QBDT).

A chargeback signifies a customer's disagreement with a payment made. It can arise due to various reasons, such as fraud, errors, or customer dissatisfaction. If you're not using QB Merchant Services, you can follow the instructions shared by my colleague Leizyl above to record this in the program. Another option is to create a customer refund in QuickBooks Desktop.  

Here's how to create a refund payment:

1. Go to the Customers menu and select Credit Memos/Refunds.
2. In the Customer:Job drop-down, choose the customer you need to refund.
3. Enter the products and services you need to refund.
4. When you're done, select Save & Close. This opens an Available Credit window.
5. Select Give a refund and then OK.
6. In the Issue a Refund window, choose how you want to refund the transaction from the Issue this refund via field. If you choose Cash or Check, select the account you're paying for the refund from.
7. When you're ready, click OK.

When handling chargeback processing fees, simply create expense transactions to record them in QuickBooks Desktop. 

In addition, here are informative articles available that delve into chargeback management within QuickBooks:

• Handle chargebacks and retrieval requests for QuickBooks Payments
• How to handle credit card chargebacks