What is a Second/Arbitration Chargeback and Pre-Arbitration?

Once you successfully represent a transaction, the funds are passed back to your merchant account. If the cardholder or the Issuing Bank still do not agree with the documentation provided during representment, they can dispute the transaction even further and a Second/Arbitration Chargeback or a Pre-Arbitration is processed in case of MasterCard and a Pre-Arbitration in case of Visa. Either party can decide to resolve (accept) the case at this stage. You can also decide to fight this back by providing us any additional evidence you possess to file a Pre-Arbitration in the case of MasterCard Arbitration Chargebacks and decline the Pre-Arbitration in the case of VISA.