Introducing Pre-Chargeback Alerts: Minimize disputes before they become chargebacks

Chargebacks drain revenue, disrupt operations, and damage a business’s reputation. Chargeback fees can range from between $10 and $50, depending on the merchant's agreement with their acquirer. Traditionally, merchants only become aware of a chargeback after their customers request it from the bank, leaving them with little choice but to accept financial losses, pay penalties, and deal with additional operational burdens.

But a more proactive approach to intercepting potential disputes before they escalate into official chargebacks could empower merchants to mitigate financial losses, resolve issues swiftly, and maintain strong customer relationships. This method significantly lowers chargeback rates, enhances customer satisfaction, and helps sustain healthy approval rates.

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With Pre-Chargeback Alerts by Yuno, merchants can seamlessly deploy this strategy across their entire payment stack.

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What is Pre-Chargeback Alerts by Yuno?

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Pre-Chargeback Alerts is a feature within our payment orchestration solution that provides early notifications about potential disputes before they escalate into chargebacks. This proactive solution allows merchants to take immediate action—addressing customer concerns, issuing refunds, or disputing invalid claims—before financial losses accumulate.

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By intercepting disputes early, businesses can reduce chargeback rates, maintain lower processing fees, and protect their standing with banks and card networks. This proactive strategy preserves revenue by reducing chargebacks while strengthening merchant credibility and promoting long-term financial stability.

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How Pre-Chargeback Alerts work

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Here’s a brief overview of  into how Pre-Chargeback Alerts works:

1. A customer disputes a transaction with their issuing bank.
2. The bank notifies Yuno’s dispute resolution partner, which then alerts Yuno in real-time.
3. Yuno immediately notifies the merchant.
4. The merchant has 48 hours to decide if they issue a refund to prevent a chargeback or allow the dispute to proceed.
5. The merchant updates Yuno on the resolution, and Yuno informs the issuing bank.

By simplifying dispute resolution, merchants can stay ahead of chargebacks, lower costs, and maintain strong payment relationships with card issuers. Instead of waiting for a formal chargeback to be processed, merchants receive a real-time alert about a potential dispute, giving them a critical window to act and prevent financial loss.

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Unlock the Value of Pre-Chargeback Alerts

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Yuno’s Pre-Chargeback Alerts help businesses safeguard revenue, maintain strong relationships with payment providers, and enhance customer trust by detecting and addressing disputes before they escalate into chargebacks. Real-time alerts and automated response options give merchants the ability to act quickly, reducing financial losses and improving dispute resolution.

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Industries like e-commerce, travel, and subscription-based businesses often deal with high dispute volumes due to fraud, cancellations, or billing misunderstandings. Left unchecked, rising chargeback rates can lead to increased fees, account restrictions, and reputational risks. By preventing chargebacks before they happen, businesses can:

• Save on chargeback fees and penalties.
• Preserve transaction approval rates.
• Simplify workflow by eliminating the common chargeback process.
• Enhance customer satisfaction with quick dispute resolutions.

Book a demo today to see how Yuno’s Pre-Chargeback Alerts can safeguard your business from unnecessary chargebacks and financial losses.