When NYCE opens a dispute, the funds are charged back, and you have 30 days to defend the dispute or accept it.
The NYCE chargeback flow is as follows:
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 The dispute process has started, and money will be withdrawn from your account.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.
Chargeback Reversed
The disputed amount is transferred back to your account. The ChargebackReversed journal is booked, and we send you a CHARGEBACK_REVERSED webhook.
The issuing bank is still reviewing your defense. If they accept your defense, this is the final status.
2nd Chargeback
If you decided to defend the first chargeback, the issuing bank can initiate a second chargeback on behalf of the cardholder within 30 days from the Chargeback Reversed date.
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.
NYCE does not allow supplying defense documents for a second chargeback. If you have enough information that the second chargeback is not justified, contact the issuing back directly to challenge the second chargeback.