Chargeback is the charge a credit card merchant pays to a customer after the customer successfully disputes an item on his or her credit card statement. When clients pay money via credit card for the projects they hire for and do not get the satisfactory service, they file a chargeback with the issuing bank mentioning the reason for chargeback. If client’s chargeback is successful the following fees may apply.
|Chargeback reason reported by client||Fee||Service Fee||Refund Fee|
|Milestone||In Progress||Paid||In Progress||Paid|
|Unsatisfactory work||$5 or 8% of the project amount (whichever is greater).||Fee is already charged, it will not be charged again.||$10 or 8% of the project amount (whichever is greater).||$10 or 8% of the project amount (whichever is greater).|
|Unauthorized Transaction||No Service Fee will be applied.||Service Fee that already charged will be refunded.||When the fault is from client side the refund fee is not charged to freelancer.||When the fault is from client side the refund fee is not charged to freelancer.|
1.Anomaly refers to any unusual transaction pattern observed by bank.
2.A transaction that was not authorized by the actual card holder (typically in case of credit card theft).
3.Unsatisfactory work is:
- Not according to specified requirements of client.
- Work submitted after deadline has passed.
- Work submitted is partially incomplete.
- Expressly said by client to be unsatisfied using phrases
- Not happy
- Not good
- Information Missing,etc