C28 – Cancelled Recurring Billing


Reason Code

C28

Category

Cardmember Disputes

DESCRIPTION

Why did I receive this chargeback?

The cardholder claims to have cancelled a recurring billing transaction but was still charged. Or, the cardholder tried to cancel the transaction but was unable to.


FIGHT

What compelling evidence is needed to respond?

Your chargeback response must include at least one of the following items:

  • If the cancellation request didn’t comply with your policies, provide a copy of your cancellation policy, outline how you made the cardholder aware of the policy before the purchase, and explain how the rules weren’t followed.
  • If the cardholder didn’t cancel the recurring transaction and continues to use the goods or services, provide documentation that refutes the cardholder’s claim.
  • If you have already processed a refund for the transaction in question, provide documentation that proves you have credited the cardholder’s account.

PREVENT

How can I avoid this chargeback in the future?

  • Make sure qualified cancellation and non-renewal requests are fulfilled promptly.
  • Send a notification after you’ve cancelled the recurring payment.
  • If new fees are incurred after the cancellation, communicate with the cardholder about how those charges should be handled.
  • Clearly and concisely communicate your cancellation policy and make it easy for customers to find the information.
  • Remind customers of upcoming charges, especially if a significant amount of time passes between each recurring billing cycle.

Reason Codes by Brand

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