Chargeback Rebuttal Letters: The Complete Guide

A chargeback rebuttal letter is a type of cover letter. And a cover letter is defined as a letter that is sent with, and explains the contents of, another document.

For example, a cover letter is often sent with a resume or job application. The cover letter gives an overview of why the applicant would be a good fit for the position, and the claims are supported with evidence in the attached resume.

Your chargeback rebuttal letter serves a similar purpose. The letter introduces the chargeback response package and gives an overview of the important information it contains.

As you prepare your rebuttal letter, think about its purpose — the goal is to prove the transaction was a legitimate purchase and the chargeback is invalid. So what information would a reader need to reach that conclusion?

  Identifying Information
Both your bank and the card issuer (cardholder’s bank) need to be able to match your dispute response to the chargeback you are challenging.

Check your chargeback notice for identifiers like the acquirer reference number (ARN), the chargeback case number, and/or the dispute ID. You’ll also want to include your business’s name and the merchant account number (MID) used to process the original transaction.

  Dispute-Specific Information
The banks also need to know what you are challenging. Include the chargeback reason code, the customer’s name, the transaction amount, and a short description of the item that was purchased.

  Business Overview
Help the readers understand the context of the transaction. Give a brief description of the goods or services you sell and the environment in which they are purchased (online, over the phone, as part of a subscription, etc.).

  Compelling Evidence Highlights
Concisely explain the compelling evidence that is included in your dispute response, and point out the particularly important elements.

  Call to Action
Formally state what you want to happen — which is to overturn the dispute. It may seem like your motives are obvious, but it’s important to reiterate your purpose to the issuing bank.

As you begin writing your chargeback rebuttal letter, keep these tips in mind.

  Structure
We suggest you organize your content in a traditional letter format.

• Use a generic greeting or salutation like “Dear Sir or Madam” or “To whom it may concern”.
• Add the body of your letter.
• End with a closing like “Sincerely” or “Thank you for your time”.

  Customization
It’s often a good idea to create a template for your chargeback rebuttal letter and repurpose generic information that is commonly used in your responses. This helps reduce the risk of errors or forgotten information.

However, you’ll want to customize each letter with dispute-specific information. Every customer experience is different; your response should likewise be unique.

  Formatting
Format your letter so it is simple for readers to identify the most important and compelling information. Elements like bold and bullet lists can enhance the user experience, making it easy to read your content at a glance.

  Professionalism
Several people will be reading your rebuttal letter, so remember to be professional. Don’t be emotional or argumentative.

Also, remember the outcome — whether you win or lose — is based on how well you present your case. If no one can understand what you are trying to say, you’ll have a hard time winning. Check for spelling errors, typos, run-on sentences, grammar mistakes, and anything else that could confuse your message.