Merchant Asking To Cancel Credit Card Chargeback?

saintmagician0 on 19/07/2017 - 23:56
Last edited 20/07/2017 - 21:41 by 1 other user

I'm wondering if anyone has been in this situation before. Is there a 'catch' here that I am not aware of?

I bought some items from a website. The items were not as advertised. I contacted them for a refund and was refused.

I contacted my credit card company and asked them if I could dispute the transaction for a chargeback. They had me fill in a form and send them evidence. A month later, they tell me to contact the original merchant about returning the items to them. (I'm assuming it's so someone can't game the system by keeping the items and getting the chargeback).

I contact the merchant again, and now they've changed their tune. They tell me they are treating this as a 'matter of priority', and said that I need to cancel the chargeback request so they can 'look after this refund' directly with me.

I'm just remembering something similar that used to happen with paypal disputes - people would get convinced by the seller to close the dispute ("just close the dispute and then I will refund you"), but it was a trick because once you closed your paypal dispute, you couldn't reopen it. The seller would ignore you as soon as you've closed the dispute.

Is there something similar for chargebacks? Is it a bad idea to cancel my chargeback request now that the merchant has changed their tune?

Edit: Thanks for everyone's opinions. I think the consensus is clear. I will do my best to return the item and remember to have tracking/signature. And I will proceed with my bank with the charge back unless my bank advises otherwise. Thinking about it, I think I defintely trust the bank more than the merchant lol.

Financial

Comments

  • airal3rt on 20/07/2017 - 00:02
    +13

    Scam scam scam scam scam.

    Don't cancel your chargeback until you have your refund in your bank account.

    • HuskyActual on 20/07/2017 - 00:19
      +3

      Even after the merchant deposits into the buyers account, the seller would still be able to reverse that deposit with their bank. Keep the chargeback and take your business elsewhere. Edit: if a merchant has a chargeback that is in the consumers favour, they will be charged $30-$50 in fees.

      • John Kimble on 20/07/2017 - 06:42

        The bank is charged a fee as soon as a chargeback is raised, doesn't matter if the chargeback is successful or not. The bank would pass this on or choose to absorb this fee instead in some cases.

  • lookatthesizeofthat on 20/07/2017 - 00:29
    +3

    "I'm just remembering something similar that used to happen with paypal disputes - people would get convinced by the seller to close the dispute ("just close the dispute and then I will refund you"), but it was a trick because once you closed your paypal dispute, you couldn't reopen it. The seller would ignore you as soon as you've closed the dispute."

    You just answered your own question.

  • HarmonicMelody on 20/07/2017 - 02:52
    +2

    We need a gif of that "SCAM!" kid from The Checkout.

    I contact the merchant again, and now they've changed their tune. They tell me they are treating this as a 'matter of priority', and said that I need to cancel the chargeback request so they can 'look after this refund' directly with me.

    Don't get burnt, they are trying to screw you.

  • garetz on 20/07/2017 - 04:46
    +5

    Once a charge back has been initiated, never cancel it. It got to the point you needed to do it, so why would you ever cancel it, you remove your own power, and put it back in the retailers hands. Also once its cancelled you can never try to get it again.

  • Adz81 on 20/07/2017 - 05:37
    +1

    😂 😂 😂

    No.
    Do not cancel the chargeback.

  • MrClown on 20/07/2017 - 06:14
    +3

    Don't cancel the chargeback.
    If you send the items back, make it's tracked and a signature is required.

  • jsb on 20/07/2017 - 07:17
    +4

    if its still not clear from the above replies, here are my 2 cents. Do not cancel the chargeback.

    • tomsco on 20/07/2017 - 10:21

      Can you explain that in terms a 10 year old would understand?

  • D C on 20/07/2017 - 07:31
    +2

    Apart from the 'scam' angle, the other reason is a company may want you to cancel the chargeback is it counts as a 'strike' against their account.

    Too many strikes and their merchant account gets cancelled or limited (about 1% of the total transactions is common).

    There is also a fee charged which can anything from $10-$100.

  • JIMB0 on 20/07/2017 - 09:04

    I'd imply that I cancelled it and see if they give back the money. Only one the money is safe would I cancel the charge back.

  • Ocker on 20/07/2017 - 09:04
    +1

    Which website did you make the purchase on?

  • [Deactivated] on 20/07/2017 - 09:36

    Chargebacks incur additional cost to the vendor hence why they may be trying to settle this outside of that.

    The vendors were strong arming you and you called their bluff. Ask them for a full refund and compensation for your grievances before cancelling the charge back, otherwise, just proceed with the charge back. Let the dodgy vendors bear the cost and the red flag from their credit institution.

  • CyberMurning on 20/07/2017 - 10:30

    get them to send you the refund $ first, when you get them then cancel chargeback
    or just run with 2x $ amount haha

  • altomic on 20/07/2017 - 11:52
    +2

    I think it is pretty obvious from everyone's response on what you should do :

    • cancel the chargeback and wait patiently for the vendor to do the right thing.
    • hhbb555 on 21/07/2017 - 09:01

      Are you the vendor?
      Seems everyone else are suggesting different to your conclusion.

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