> ## Documentation Index
> Fetch the complete documentation index at: https://docs.payreque.st/llms.txt
> Use this file to discover all available pages before exploring further.

# Handling Chargebacks

> Understanding and managing SEPA chargebacks in PayRequest

# Handling Chargebacks

A chargeback (terugboeking) occurs when a customer reverses a payment, typically for SEPA Direct Debit transactions. PayRequest provides comprehensive tools to track, understand, and manage chargebacks effectively.

## Accessing Chargebacks

Navigate to **Payment Processing > Chargebacks** to view all chargebacks in your account. PayRequest automatically syncs chargebacks from Mollie every 4 hours in the background.

## Chargeback Detail Page

Click on any chargeback to view detailed information:

### Customer Information

* **Customer card** with avatar and contact details
* Direct link to customer profile
* View complete customer history

### Subscription & Transaction Links

PayRequest intelligently links chargebacks to their related:

* **Subscription** - Shows the product, status, and recurring amount
* **Transaction** - Payment details including date, method, and description
* **Invoice** - If applicable

### Chargeback Details

* **Amount** - The charged-back amount
* **Created Date** - When the chargeback was initiated
* **Reversed Date** - If the chargeback was later reversed
* **Settlement Amount** - Only shown if different from the chargeback amount

## Invoice Chargeback Status

When a chargeback is received, the linked invoice is automatically updated:

* Invoice status changes from **Paid** to **Chargeback** (shown as a red badge)
* The chargeback amount, date, and reason are stored on the invoice

<Info>
  The chargeback status is protected — webhooks and payment syncs will never overwrite it back to "Paid". This ensures your records accurately reflect the reversed payment.
</Info>

### Chargeback Details on Invoice Page

When viewing an invoice with chargeback status, a **Chargeback Details** card appears in the sidebar showing:

* **Chargeback amount** — The reversed amount
* **Date** — When the chargeback was initiated
* **Reason code** — The SEPA reason code with description (e.g., MD06 - Return of funds requested by end customer)
* **Chargeback ID** — The Mollie chargeback reference

If the invoice is linked to a subscription, the card also shows the **Payment Retry Status**:

* **Failed attempts** — Current failures vs maximum allowed (e.g., "1 / 2")
* **Last failure date** — When the most recent failure occurred
* **Next retry** — When the next automatic retry is scheduled (if applicable)
* **Retry history** — Complete timeline of all retry attempts with amounts and reasons
* **Direct link** to the associated subscription for further management

<Tip>
  You can see chargeback and retry information directly on the invoice page without navigating to the subscription. This gives you a complete picture of the payment issue at a glance.
</Tip>

## SEPA Reason Codes

PayRequest displays color-coded reason codes to help you quickly understand why a chargeback occurred:

### Critical Issues (Red/Rose)

* **AC01** - IBAN incorrect or unknown
* **MD01** - Invalid mandate (expired, missing, or incorrect type)

### Account Issues (Orange/Amber)

* **AC04** - Account closed
* **AC06** - Direct debit not allowed on this account

### Transaction Issues (Yellow)

* **AG02** - Transaction information incorrect (wrong payment type or mandate reference)

### Insufficient Funds (Lime)

* **AM04** - Insufficient funds in customer's account

### Customer Actions (Purple/Blue)

* **MD06** - Customer reversed the payment (possible within 8 weeks)
* **MS02** - Customer declined before processing

### Special Cases

* **MD07** - Customer deceased (Zinc)
* **MS03** - Multiple possible reasons (Cyan)
* **SL01** - Bank refused (daily limit or blocked account) (Indigo)

### Retryable vs Non-Retryable Reason Codes

| Retryable                 | Non-Retryable                |
| ------------------------- | ---------------------------- |
| AM04 (Insufficient Funds) | MD06 (Customer Reversed)     |
| MS03 (Not Specified)      | MS02 (Customer Declined)     |
|                           | AC04 (Account Closed)        |
|                           | MD07 (Customer Deceased)     |
|                           | AG01 (Transaction Forbidden) |

Retryable chargebacks automatically schedule payment retries on the linked subscription. Non-retryable chargebacks mark the subscription as **Payment Failed** immediately.

## What to Do When You Receive a Chargeback

1. **Check the Reason Code** - Understand why the chargeback occurred
2. **Review the Invoice** - Open the invoice to see chargeback details and retry status in one place
3. **Contact Your Customer** - For codes like MD06, MS02, or MS03, reach out to understand the issue
4. **Update Payment Details** - For AC01, AC04, or AC06, request new bank account information
5. **Fix Technical Issues** - For AG02, review your payment type settings
6. **Retry if Appropriate** - For AM04, you may retry after confirming funds are available

## Prevention Tips

### Mandate Management

* Ensure mandates are created before charging customers
* Keep track of mandate expiration (36 months)
* Always use unique mandate references

### Clear Communication

* Inform customers about upcoming charges
* Use clear payment descriptions
* Maintain up-to-date customer contact information

### Payment Timing

* Don't charge immediately after mandate creation
* Allow time for first payments (FRST) before recurring (RCUR)

### Account Verification

* Validate IBANs before creating mandates
* Confirm account status with customers
* Update banking details when customers notify you

## Automatic Syncing

PayRequest automatically syncs chargeback data from Mollie:

* **Frequency**: Every 4 hours
* **Scope**: Last 90 days of transactions
* **Background**: No manual refresh needed

All chargeback information is kept up-to-date automatically, ensuring you always have the latest status and details.

## Related Resources

* [Failed Payment Handling](/subscriptions/failed-payment-handling)
* [Payment Methods Overview](/payment-processing/payment-methods-overview)
* [Setting Up Payment Providers](/payment-processing/setting-up-payment-providers)
* [Customer Management](/customer-management)
* [Subscriptions](/subscriptions)

## Need Help?

If you're experiencing frequent chargebacks or need assistance understanding a specific case, our support team is here to help. Contact us with your chargeback ID for personalized assistance.