Find definitions and learn about the general application of common industry terms as they are used on this website.
What is an acquirer? An acquirer, also known as an acquiring bank, is a financial institution that processes credit and debit card payments for merchants. It processes transactions, settles funds, and serves as an intermediary between merchants, card networks, and issuing banks. Acquirers provide the necessary infrastructure and services for businesses to securely handle electronic […]
What is an address verification service? An address verification service (AVS) is an automated system used in online transactions to verify a customer’s billing address. It compares the address provided during checkout with the address on file at the card-issuing bank, helping merchants detect and prevent potential credit card fraud. How do address verification services […]
What are Arbitration Chargebacks? Arbitration chargebacks, sometimes known as “second chargebacks” or pre-arbitration filings, occur when a chargeback dispute enters its penultimate stage, after the initial representment has been won or lost. At this point, the cardholder (via their issuer) or acquirer may provide new evidence to challenge the representment ruling, elevating the dispute to a higher stakes arbitration phase. […]
What is a Card Issuer? A card issuer, also known as an issuing bank, is a financial institution that provides credit or debit cards to consumers and businesses. Examples of card issuers include banks like JPMorgan Chase, Bank of America, and Citibank, as well as credit unions and prepaid card providers. These institutions are responsible […]
What is compelling evidence in a chargeback scenario? Compelling evidence refers to the data and documentation that merchants provide to prove the legitimacy of a disputed transaction. This evidence is used in the chargeback representment process, where merchants attempt to reverse a chargeback and recover lost revenue. Compelling evidence typically includes any written or electronic documentation, […]
