PULSE disputes are routed into two flows, a default flow and a flow for fraud disputes with reason code 4868. The steps of the two flows are as follows:
Default dispute flow
In both flows, the funds are charged back, and you have 30 days to defend the dispute or accept it.
Default dispute flow
The following diagram shows the default PULSE dispute flow. This flow applies to all disputes except those with reason code 4868.
The default dispute flow consists of the following steps:
- Notification of Chargeback
- 1st Chargeback
- Information Supplied
- Chargeback Reversed
- Pre-arbitration
- 2nd Chargeback
Notification of Chargeback
The issuing bank initiated a Notification of Chargeback (NoC). The NoC can occur immediately after the payment status changes to Settled or Refunded. We send you a NOTIFICATION_OF_CHARGEBACK webhook. The dispute process has started, and money will be withdrawn from your account.
The chargeback debit usually occurs a few days after you receive the NoC.
1st Chargeback
The issuing bank initiates the first chargeback on behalf of the cardholder by sending a chargeback notification to Adyen stating the dispute reason.
We assign the dispute to you for review in your Customer Area > Risk > Disputes. The NotificationOfChargeback and Chargeback journals are booked, and we send you a CHARGEBACK webhook. At the same time, your account is debited for the chargeback amount.
After your review, you can decide to either:
- Accept the chargeback in your Customer Area or using the Disputes API. The case will be closed for defense.
-
Defend the dispute. You need to upload the relevant defense documents in your Customer Area or using the Disputes API.
See Defense requirements for file formats and for defense documents per dispute type. Be sure to address the dispute reason and provide information that supports your position. An overview of the order details is not enough.You must provide your defense documents within 30 days after receiving the NoC. There is no opportunity later in the process to provide information or to update information you provided.
Information Supplied
Adyen received your defense documents and forwarded them to the scheme. It is no longer possible to change these documents. The InformationSupplied journal is booked and we send you an INFORMATION_SUPPLIED webhook.
Chargeback Reversed
For all dispute reasons other than card-not-present fraud, the disputed amount is transferred back to your account after we have forwarded your defense documents to PULSE. The ChargebackReversed journal is booked, and we send you a CHARGEBACK_REVERSED webhook.
Pre-Arbitration
The cardholder can challenge your evidence. Their bank will then send a pre-arbitration case to Adyen within 30 days of the Chargeback Reversed date. Issuing banks can initiate Pre-Arbitration for all disputes except those related to card-not-present fraud.
In most cases, the cardholder insists that the chargeback is valid (after reviewing your evidence) and asks their bank to continue the dispute.
2nd Chargeback
If the issuer declines your defense, or Adyen accepts their pre-arbitration case, a second chargeback occurs. You cannot upload defense documents. This is the final status.
The chargeback amount that was previously returned to your account, is now debited from your account again. The SecondChargeback journal is booked, and we send you a SECOND_CHARGEBACK webhook.
4868 Dispute flow
The following diagram shows the PULSE dispute flow for fraud disputes with reason code 4868.
The 4868 dispute flow consists of the following steps:
Notification of Chargeback
The issuing bank initiated a Notification of Chargeback (NoC). The NoC can occur immediately after the payment status changes to Settled or Refunded. We send you a NOTIFICATION_OF_CHARGEBACK webhook. The dispute process has started, and money will be withdrawn from your account.
The chargeback debit usually occurs a few days after you receive the NoC.
The 30-day period in which you can defend the dispute starts now.
1st Chargeback
The issuing bank initiates the first chargeback on behalf of the cardholder by sending a chargeback notification to Adyen stating the dispute reason.
We assign the dispute to you for review in your Customer Area > Risk > Disputes. The NotificationOfChargeback and Chargeback journals are booked, and we send you a CHARGEBACK webhook. At the same time, your account is debited for the chargeback amount.
After your review, you can decide to either:
- Accept the chargeback in your Customer Area or using the Disputes API. The case will be closed for defense.
-
Defend the dispute. You need to upload the relevant defense documents in your Customer Area or using the Disputes API.
See Defense requirements for file formats and for defense documents per dispute type. Be sure to address the dispute reason and provide information that supports your position. An overview of the order details is not enough.You must provide your defense documents within 30 days after receiving the NoC. There is no opportunity later in the process to provide information or to update information you provided.
Information Supplied
Adyen received your defense documents and forwarded them to the scheme. It is no longer possible to change these documents. The InformationSupplied journal is booked and we send you an INFORMATION_SUPPLIED webhook.
Pre-arbitration
Adyen automatically creates a Pre-Arbitration case containing your documents, and forwards your case to the issuing bank. The bank has 30 days to review the documents and respond by accepting or declining the case.
If the Pre-Arbitration is accepted by the bank, we book the PreArbitrationWon and ChargebackReversed journals. Chargeback Reversed will be the final status.
If the Pre-Arbitration is declined, we book a PreArbitrationLost journal. The status of the dispute will remain Chargeback.
Chargeback Reversed
Because you won the Pre-Arbitration, the disputed amount is transferred back to your account. The ChargebackReversed journal is booked, and we send you a CHARGEBACK_REVERSED webhook. Chargeback Reversed is the final status.