Disputes

Contents

• Overview
• Access and Manage Disputes
• Dispute Cycle
• Best Practices to Reduce disputes
• Scenarios Where the Defense Fails
• Simulate Chargeback

Overview

A dispute occurs when a cardholder questions or challenges a charge with their issuing bank.

This can happen due to:

• Fraud or unauthorized transaction
• Duplicate charge
• Product or service not received
• Dissatisfaction with the product or service

When a dispute is initiated, the transaction amount is temporarily withdrawn while the case is reviewed.

Access and Manage Disputes

View Dispute Details and Actions

1. In the left navigation menu, click Ordway Payments → Disputes.
   The Disputes List page is displayed.
   
2. The below details are displayed in the Disputes details page:
   • Dispute ID
   • Date
   • Payment ID
   • Customer
   • Status
3. Locate the required payout in the list.
4. Click the Dispute ID or click view from the three-dot menu.
5. The Dispute Details page is displayed. 
   

Review Dispute Details

1. On the Dispute Details page, review:
   • Dispute ID
   • Status (example., Information Provided, Won, Lost)
   • Disputed amount
   • Associated payment
2. Review the Dispute Summary section:
   • Dispute message
   • Submitted evidence
   • Defense material link

View Dispute Timeline

1. Scroll to the Dispute Timeline section.
   
2. Review the events:
   • Dispute opened
   • Dispute defended
   • Funds withdrawn

View Email History

1. Navigate to the Email History section.
   
2. View details:
   • Date
   • Subject
   • Email type
   • Transaction ID
   • Status

View or Resend Dispute Email

1. In the Email History section, click the three-dot menu.
2. To view email:
   1. Click View
      
   2. Review:
      • Recipients
      • Status
      • Date and time
      • Email content
   3. Click Resend if required
3. To resend email:
   1. Click Resend
   2. The Email Dispute dialog box is displayed.
      
   3. Review or update:
      • Recipients
      • Subject
      • Email content
   4. Click Send

View Journal Entry

1. On the Disputes List page, click the three-dot menu for a dispute.
2. Click Journal Entry.
3. The Journal Entries page is displayed showing:
   
   • Journal Entry ID
   • Date
   • Source ID (Dispute ID)
   • Source Type (Dispute)
   • Transaction amount

View Audit Log

1. On the Dispute Details page, click the three-dot menu.
2. Click the Audit Log.
   

Result

• Dispute details, timeline, and associated transactions are displayed.
• Email history and communication actions are available.
• Journal entries and audit logs can be accessed for the dispute. 

Dispute Cycle

Dispute Notification

• Cardholder raises a dispute with the issuing bank
• A chargeback is created
• Notification is received in Ordway
• Amount and dispute fee are debited

Action:  Review the dispute and decide to accept or challenge it.

The below sample screenshot showing Ordway Instance for Payment PMT–00020 showing the buttons Counter dispute and Accept Dispute

Evidence Submission

• Submit supporting evidence to challenge the dispute
• Evidence may include:
  • Invoice or receipt
  • Proof of delivery
  • Customer communication
  • Terms acceptance
• Status becomes Information Provided

Note:  Deadlines are strict (typically 7–21 days).

The below sample screenshot showing Ordway Instance for Payment PMT–00020 when the user counter’s dispute.

Screenshot showing Ordway Instance for Payment PMT–00020 where the user has uploaded a defense document ready to be submitted.

Screenshot showing Ordway Instance for Payment PMT–00020 where the user has uploaded a defense document ready to be submitted and the dispute showing Information Provided

Issuer Review

• Issuing bank reviews submitted evidence
• Outcome:
  • Accept evidence → dispute won
  • Reject evidence → dispute lost

Outcome

If Won:

• Funds are returned
• Dispute is closed

If Lost:

• Chargeback remains
• Customer retains funds
• Additional fees may apply

Screenshot showing the Ordway Instance for dispute details page for the dispute DSPT-0003 for Payment PMT-00257 where the dispute is lost for the Amount $10 for the customer Modulr Demo

Screenshot showing the Ordway Instance for Payment details page where payment PMT-00257 Amount $10 is withdrawn for the customer Modular Demo

Screenshot showing the Ordway Instance for Payment PMT-00323 where the dispute of $1500 is won and the funds withdrawn is reversed.

Screenshot showing the Ordway Instance for Payment PMT-00323 where the dispute of $1500 is won and the funds withdrawn is reversed and the status of the payment is processed

Best Practices to Reduce Disputes

• Use clear billing descriptors
• Communicate refund policies clearly
• Provide prompt customer support
• Maintain proof of delivery
• Issue refunds proactively when needed

Summary

The dispute cycle involves multiple stakeholders:

• Customer
• Issuing bank
• Card network
• Payment processor

Ordway enables you to:

• Track disputes
• Submit evidence
• Monitor outcomes

Scenarios Where Defense Fails

• Payment method restrictions (e.g., bank transfers not defendable)
• Timing issues (outside allowed dispute window)
• Partial refunds not covering sufficient amount
• High-risk transactions (no authentication, address mismatch)
• No defense option available (already accepted/closed)

Screenshot showing dispute screen that’s undefendable

Simulate Chargeback (Test Environment)

1. Navigate to the Customer Details page.
2. Click Add Credit Card.
3. Enter card details.
4. Enter “Chargeback” as the account holder name.
5. Save the payment method.
6. Create a payment using this card.

Screenshot of Ordway instance showing the Payment Method add form with the Account holder name as “Chargeback” to simulate create chargebacks/dispute

Simulation Values

Dispute Status

Note:  In production, timelines vary based on issuer bank response. 

For more information, refer to the below:

• Credit Card Disputes Code Reason Codes 
• ACH Disputes Code Reason Codes

Related Topics

• Payment Collection
• Refund Processing
• Payout Management
• Cash Application