What is Representment transaction?

Representment involves submitting evidence to prove that a transaction was properly completed, and the cardholder’s claims are untrue. In broad terms, a representment is an opportunity to defend a valid transaction and recover any revenue that lost due to an illegitimate chargeback (a phenomenon called friendly fraud).

 

What is Representment & How Can It Benefit Merchants?

Whenever a customer files a chargeback, the merchant in question can choose one of two options: either accept the chargeback, or dispute it. This dispute process, referred to as “representment,” allows the merchant the opportunity to challenge unjustified chargebacks and make the case that the initial transaction was valid and should not be overturned.

Representment is an important opportunity for merchants; however, many believe it’s not worth it. Little do they realize that each dispute will linger long-after the case is closed.