Chargeback

A chargeback arises when a cardholder disputes a card payment with their issuer. On a BSP sale reported with the Customer Card payment method, the Airline is the merchant, so the card statement shows the Airline's name and not the agency's. That mismatch is one common reason cardholders dispute a ticket 2.

The dispute usually reaches the agency in stages. The cardholder first asks the issuer about a transaction they do not recognise, and the request passes through the acquirer to the Airline 6. If the dispute proceeds, the card company allows only a short, fixed period for the Airline to submit evidence 2. The Airline had no direct contact with the customer, so it often asks the agency for documentation. If enough evidence cannot be supplied in time, the Airline raises an ADM for the amount owed 2. Once the chargeback is final, that ADM generally cannot be disputed 1.

What the agency does in practice:

• Follow Resolution 890, or 890x for NDC sales. Otherwise the agency is fully liable for the resulting ADM 4.
• Check the Airline accepts the card brand and obtain and record an authorization approval code 15.
• Tell the customer before the sale that the Airline will appear on their statement, and state any agency fees clearly 5.
• Remember that for remote sales an approval code does not guarantee against a chargeback, and ID copies rarely remedy one 457.
• When an inquiry arrives, contact the customer directly, which may be the fastest fix 6.

Liability depends on the agency's role in the transaction. It is generally not liable for fraud chargebacks if the customer paid on the Airline's own page, or if the agency helped complete a securely created transaction such as one using 3DS 1.