An ACH Chargeback is a payment made with ACH that was not authorized and/or returned for different reasons.
A chargeback is also considered a Dispute for ACH payments.
- Insufficient funds
- The account is closed
- No Account/Unable to Locate Account (The account number entered is incorrect.)
- Non-Transaction Account (Bank accounts that are not payment accounts.)
- Corporate Customer Advises Not Authorized (The payer and the bank institution have declined the authorization for this transaction)
- Payment Stopped
How do Chargebacks work?
You will receive an email notification when there is a new chargeback or dispute:
All ACH Chargebacks are final, and there is no process to appeal. If a payer has an ACH chargeback, you must work with them directly to resolve the situation.
You can check your chargebacks by going to the Paystand Dashboard.
1. Click Transactions > Disputes
A USD 35.00 fee will be charged for every dispute or chargeback, regardless of the status of the dispute.