Chargeback Prevention & Dispute Handling Policy

Pedrablanca Digital Group LLC · Effective Date: March 26, 2026

1. What is a Chargeback?

A chargeback is a transaction reversal initiated by a customer's card issuer (bank or credit card company). When a customer disputes a charge, the card network (Visa, Mastercard, American Express, etc.) investigates and either upholds or reverses the charge.

Common chargeback reasons include:

• ·<strong>Unauthorized Use</strong> — Customer claims they did not make the purchase
• ·<strong>Product Not Received</strong> — Customer did not receive the digital product or access
• ·<strong>Product Not as Described</strong> — Product does not match the seller's description
• ·<strong>Duplicate Charge</strong> — Customer was charged twice for the same product
• ·<strong>Processing Error</strong> — Customer claims a technical error caused the charge
• ·<strong>Fraudulent Claim</strong> — Customer disputes legitimately issued charges (friendly fraud)

2. Technical Chargeback Prevention Measures

Restackd uses industry-standard fraud prevention to reduce unauthorized transactions:

2.1 3D Secure (3DS) Authentication

What it is: 3D Secure is an authentication layer that verifies the cardholder's identity before processing the payment. When enabled, customers must complete an additional verification step (password, biometric, OTP, etc.).

Status on Restackd: 3DS is enabled by default on all Stripe checkout sessions on Restackd. This significantly reduces "unauthorized use" chargebacks.

Your role: You don't need to do anything. Stripe handles 3DS automatically.

2.2 Address Verification System (AVS)

What it is: AVS checks whether the billing address entered during checkout matches the address on file with the card issuer. A mismatch signals potential fraud.

Status on Restackd: AVS verification is enabled on all transactions processed through Stripe.

Your role: N/A — automatic.

2.3 CVV Validation

What it is: The CVV (Card Verification Value) is the 3-4 digit code on the back of a card. Requiring CVV verification ensures the customer has physical possession of the card.

Status on Restackd: CVV is required on all checkout transactions.

Your role: N/A — automatic.

2.4 Digital Product Delivery & Logging

What it is: When a customer purchases a digital product, Restackd records the delivery timestamp, customer email, IP address, and device information. This creates verifiable proof of delivery.

Status on Restackd: All digital product sales generate delivery records that can be submitted as evidence in disputes.

Your role: Keep your product descriptions accurate and ensure customers can download/access the product immediately after purchase.

3. Seller Best Practices to Prevent Chargebacks

3.1 Accurate Product Descriptions

The #1 cause of "Product Not as Described" chargebacks is misleading marketing. To prevent these:

• ·Clearly describe what the customer will receive (file types, number of templates, video duration, etc.)
• ·Use realistic preview images/screenshots — not exaggerated examples
• ·Avoid making income or results claims unless you can prove them with documentation
• ·Include file formats, access method, and any technical requirements
• ·If a product has expiration dates or limitations, disclose them upfront

3.2 Transparent Pricing & Billing

• ·Display the full price before checkout (no surprise fees)
• ·Clearly label one-time purchases vs. subscriptions
• ·If offering free trials or memberships, explain billing clearly
• ·Send purchase confirmation emails with product access details
• ·Include the seller name and website in charge descriptions (so customers recognize the charge)

3.3 Responsive Customer Support

• ·Respond to customer inquiries within 24 hours
• ·Document all customer communications (emails, chat logs, support tickets)
• ·If a customer complains about a charge before filing a chargeback, offer a refund if appropriate
• ·Keep records of refunds you issue (screenshot, email confirmation, transaction ID)

3.4 Clear Refund & Return Policy

• ·Display your refund policy on your product page and checkout
• ·Be clear about what is/isn't refundable
• ·For digital products, explain that refunds are only for non-delivery or defects
• ·Link to your full refund policy or Terms of Service

4. When a Chargeback is Filed

4.1 Timeline

Day 1: Customer disputes charge with their bank

Day 1-10: Bank investigates and notifies Stripe. Stripe notifies Restackd.

Day 10-50: Restackd alerts you of the dispute. You have 30-45 days from the dispute date to respond with evidence (this deadline is set by card networks and cannot be extended).

Day 50-90: Card network reviews evidence and makes final determination.

Outcome: Chargeback is either won (charge reinstated to your account) or lost (funds returned to customer, you absorb the loss).

4.2 What Happens to Your Account

• ·You will receive an email notification with the dispute details and deadline
• ·The disputed transaction amount is held in escrow (not immediately refunded to customer)
• ·You can log into your Restackd dashboard to view dispute details and submit evidence
• ·If you don't respond by the deadline, the chargeback is automatically lost

4.3 Evidence You Should Prepare

When responding to a chargeback, Stripe/card networks accept the following as evidence:

• ·<strong>Delivery Proof</strong> — System-generated timestamp showing product was delivered immediately upon purchase (Restackd provides this automatically)
• ·<strong>Customer Communication</strong> — Email confirmations, chat logs, or customer service tickets showing the customer received access
• ·<strong>Refund Records</strong> — If you refunded the customer, provide proof (transaction ID, email confirmation)
• ·<strong>Product Access Logs</strong> — Timestamps showing the customer accessed, downloaded, or viewed the product
• ·<strong>Terms of Service</strong> — Link to your clear, published T&Cs or refund policy

4.4 How to Submit Evidence

1. Log in to your Restackd dashboard
2. Navigate to "Disputes" and find the open chargeback
3. Review the evidence deadline (typically 30-45 days from filing)
4. Gather supporting documentation (emails, access logs, refund records)
5. Click "Submit Evidence" and upload files or paste narrative explanation
6. Confirm submission — Restackd will automatically forward to Stripe

4.5 If You Lose the Chargeback

• ·You will absorb the full transaction amount (customer is refunded by their bank)
• ·Platform fees and Stripe fees are also non-refundable
• ·The disputed sale remains on your chargeback rate
• ·If chargebacks are frequent, Stripe may suspend your account or close it entirely

5. High Chargeback Consequences

If you exceed threshold rates, Stripe may:

• ·Require manual review and approval for all transactions
• ·Increase your reserve balance (hold more money in escrow)
• ·Implement rolling reserves (delay payouts by 30-90 days)
• ·Charge chargeback fees ($15 per chargeback, in addition to the refund amount)
• ·Restrict your account (no new sales allowed)
• ·Suspend or permanently close your Stripe account

6. Refunds vs. Chargebacks

Refund (Good): You voluntarily refund a customer directly. This does NOT count as a chargeback and does NOT damage your chargeback rate. In fact, processing refunds proactively is the best way to prevent chargebacks.

Chargeback (Bad): Customer disputes the charge with their bank without requesting a refund from you first. This counts against your chargeback rate.

Recommendation: If a customer complains about a product or requests their money back, issue a refund immediately through your Stripe dashboard. This costs nothing but your product and keeps your chargeback rate clean.

7. Questions or Disputes?

If you have questions about a specific dispute or need help submitting evidence:

Email: support@restackd.com
We typically respond within 24 hours.

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