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Documentation Index

Fetch the complete documentation index at: https://docs.xpaycheckout.com/llms.txt

Use this file to discover all available pages before exploring further.

What are Disputes?

A dispute is initiated when a customer challenges a transaction through their issuing bank. The bank investigates the claim and may reverse the payment (a chargeback) unless the merchant provides strong evidence. Disputes can occur when a customer questions a charge on their card. This page explains how disputes work, where to track them, how to respond, and the implications of missing deadlines.

Dispute reason codes

Each dispute may include a machine-readable reason code that reflects why the customer or bank challenged the charge. When you see a code on a dispute in the dashboard, use the descriptions below to understand the claim and what evidence to gather.

Card and chargeback reasons

CodeDescription
credit_not_processedThe cardholder claims you have not yet refunded their return or cancellation.
duplicateThe customer was charged more than once for the same item or service.
fraudulentThe customer claims they didn’t authorize this payment — possibly due to card fraud or confusion over a legitimate charge.
generalThe customer disputed the charge, but the reason is unclear. You should contact them for more details.
product_not_receivedThe customer says they didn’t receive the product or service they paid for.
product_unacceptableThe customer received the product but says it was damaged, defective, or not as described.
subscription_canceledThe customer says you continued charging them after they canceled a subscription.
unrecognizedThe customer doesn’t recognize the charge on their statement. This often overlaps with fraudulent disputes.
customer_initiatedThe customer initiated a chargeback directly with their bank for an unspecified reason.

Bank, ACH, and check reasons

CodeDescription
debit_not_authorizedThe debit was not authorized by the account holder, often indicating possible fraud or misunderstanding.
incorrect_account_detailsThe transaction failed due to incorrect or invalid account information provided.
bank_cannot_processThe bank was unable to process the transaction due to a temporary or permanent issue.
check_returnedThe check payment was returned, possibly due to insufficient funds or a closed account.
insufficient_fundsThe customer’s account did not have enough funds to cover the transaction.

How Disputes Occur

  1. Customer raises a complaint with their bank.
  2. The bank initiates a chargeback request.
  3. xPay marks the transaction as DISPUTED.
  4. Funds are held until resolution.
  5. Merchant is notified to respond with evidence.
A timely and thorough response increases the chances of reversing the chargeback.

Where to See Disputes & Notifications

Disputes can be accessed from the xPay Dashboard:
  • Path: Dashboard → Disputes
  • View disputes with statuses:
    • DISPUTED
    • DISPUTE_UNDER_REVIEW
  • Notification channels:
    • Email notifications

Dispute Status Lifecycle

Status Definitions:
StatusDescription
DISPUTEDA dispute has been raised and is awaiting merchant action.
DISPUTE_UNDER_REVIEWEvidence submitted; the bank is reviewing the case.
DISPUTE_WONThe bank ruled in your favor — funds are returned.
DISPUTE_LOSTThe bank ruled against you — funds are permanently deducted.
All status changes are visible in real-time in the dashboard.

Evidence Guidelines

Submit clear and relevant proof to support your case.
Guidelines:
  • Upload clear, legible documents that support your case
  • Mandatory evidence documents: Customer communication and payment invoice
  • Include any other relevant evidence based on the dispute reason, such as your refund policy, service records, or activity logs
  • Ensure all the evidence is properly labeled
Upload Process:
  • Navigate to Dashboard → Disputes → Open Dispute -> Counter Dispute
Accept Dispute:
  • Navigate to Dashboard → Disputes → Open Dispute -> Accept Dispute
Accepting a dispute will result in losing the dispute and funds being permanently deducted.

Deadline and Consequences

  • Deadline to submit evidence varies per dispute. Please refer to the dashboard for the specific deadline mentioned on each dispute case.
What happens if you miss it:
  • Dispute is automatically lost.
  • Disputes affect your merchant performance score.
Always respond before the stated deadline on the dashboard to avoid automatic loss.

Dispute Fees

  • When a dispute is raised, the transaction amount is temporarily withdrawn.
  • If you win, the amount is credited back to your account.
  • If you lose or do not respond, the deduction is finalized and a fee may apply.