When a customer disputes a charge with their bank, the bank can reverse the payment on their behalf. That's a chargeback. This page explains what happens when one is filed against you and the stages a dispute moves through.
What a chargeback is
When a customer disputes a charge with their bank, the bank can reverse that payment on their behalf. When a chargeback is filed, the funds are pulled back from you while the case is reviewed. You have a limited window to respond with evidence. If you don't respond — or your response isn't strong enough — the bank sides with the customer and the reversal stands.
💡 A chargeback is different from a refund. A refund is something you choose to issue; a chargeback is forced by the customer's bank. Every chargeback also carries a $15 fee charged to you when it occurs, regardless of card network.
The dispute lifecycle
A dispute can move through several stages. Many cases end at Won or Lost and never reach the later ones.
Stage | What it means |
Retrieval | The issuer requests transaction documentation before deciding whether to file a chargeback. No funds move yet. |
Chargeback (Filed) | The issuer reverses the transaction provisionally and debits you. You have a response window to submit evidence. |
Under Review | Your evidence has been submitted and the issuing bank is evaluating it. |
Won | The issuer reverses the chargeback and the funds return to you. |
Lost or Accepted | The chargeback stands (either side let it) and the funds remain reversed. |
Pre-Arbitration | Either side escalates after the initial ruling. You choose to accept the loss or proceed to arbitration. |
Arbitration | The card network makes a final, binding ruling. A filing fee applies. |
Closed | No further action is possible on either side. |
See Pre-Arbitration & Arbitration for how escalations work and what they cost.
Typical timelines
Two kinds of clock run during a dispute: your response deadlines, and the bank's or network's review windows.
Your response deadlines
Initial chargeback: about 7–14 days from when the chargeback is filed to submit your evidence. Don't wait.
Pre-arbitration: about 10 days to respond after a pre-arb is received.
Review & decision windows (once it's in the bank's or network's hands)
Retrieval: the issuer typically decides within a couple of weeks whether to proceed to a full chargeback.
Initial chargeback: after your response is submitted, the issuing bank's decision generally lands within 30–45 days.
Pre-arbitration: issuer review after you contest typically runs another 30 days or so.
Arbitration: network-dependent and highly variable — some rulings come almost immediately, others take 4–6 months.
⚠️ Deadlines are strict and you usually get one shot to respond. Treat the response window as the priority the moment a chargeback appears.
How TankTrack notifies you
You don't have to watch for disputes manually — TankTrack alerts your account admins automatically.
When a dispute is filed on one of your payments, admins get an email and an in-app dashboard notification right away.
When the dispute's status changes — for example, it moves to under review, is won, or is lost — you get a follow-up alert, so you can track it without checking in yourself.
These chargeback alerts are on by default for new payment accounts. An admin can turn them off in your notification settings, but we recommend leaving them on so a response deadline is never missed.
Related: How to Respond to a Chargeback | Refund a Payment