Chargeback

Chargeback in affiliate marketing is a form of fraud prevention that is used to protect merchants from fraudulent transactions. It is when a customer disputes a charge on their credit card or debit card and requests that the transaction be reversed. This process is usually initiated by the customer contacting their credit card company or bank to dispute the charge, and the credit card company or bank then works with the merchant to investigate the dispute and determine whether the charge should be reversed.For example, if a customer purchases a product from an affiliate merchant but never receives the product or is not satisfied with the product, the customer can contact their credit card company or bank and dispute the charge. The credit card company or bank will then contact the merchant and investigate the dispute. If the merchant is found to be at fault, the credit card company or bank may reverse the charge and refund the customer's money. The merchant may also be assessed a chargeback fee by the credit card company or bank. In addition, if the merchant is found to have been engaged in fraudulent activity, the credit card company or bank may terminate the merchant's account and the affiliate program will no longer be able to accept payments from customers. This can be a costly process for the merchant and the affiliate program, so it is important to ensure that all affiliates are honest and trustworthy.