Chargebacks vs Refunds

Do you know the difference between chargebacks and refunds?
Do you know the importance of this difference for your company’s financial reports?
Do you know which companies have refunds AND chargebacks and what the difference is?

A chargeback comes with a fee, usually around $20 per chargeback.

A dispute or a claim is simply a refund of a sale, without any added fees.
PayPal and Amazon give those two options.
Shopify does not… These are just a few examples.

Does your back end/platform have the necessary reporting structure?

Does your back end/platform have the necessary structure to stop fraudulent transactions for manual review before you capture payments?

I am starting a series on this subject and will start giving you information that is critical to any company that sells online, whether tangible or intangible goods.

If you need help or don;t know how to set up your company to deal with those issues, simply email me, stockmalm at

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