The gambling world is more complex than it might seem on the surface, for both players and operators as well. A user not only chooses what to play and which bonuses to grab, but also needs to pay attention to their finances and the way they handle them.
Likewise, casinos place a lot of focus on the financial side, maybe even more than players do, because it’s a business that the operator needs to sustain.
Because resources are so important to everyone, some players use chargebacks as a way to get their money back, no matter if the reason is legitimate or not. This has become a serious problem for all parties involved in such situations: players, casinos and banks.
To get a better understanding of what the steps are in these circumstances, this article will present the concept of a chargeback, different reasons where it applies, what the process looks like and what the consequences are.
What a chargeback actually is
A chargeback represents the process in which a player seeks to reverse a transaction made at the casino where they were playing. They state a specific reason and ask the bank for the sum of money lost.
The thing is, sometimes this lost money isn’t actually lost for valid reasons. There are users who claim a new online casino no deposit bonus, lose the money and then want to profit from this process, without a valid point in making this attempt, since there is no real money involved in such a bonus.
Even worse, there are entire groups of people who work together and do everything in their power to stay under the radar and get as much money as possible from casinos.
The good part is that, as mentioned before, these chargebacks involve banks and other processors that investigate the case to determine whether the reasons were valid. Their purpose is to protect customers while also trying to reduce abuse.
But most of the time, casinos are the ones to win the cases, as they document each step of the user to make it easier to demonstrate their morality. Usually, a gambler won’t have as much proof to show, even if they are clearly wronged in that situation, which is unfortunate.
Legitimate vs illegitimate reasons for a chargeback
As previously stated in this article, some gamblers try to profit from this chargeback. At the same time, there are people who actually have all the rights to get their money back, but the system makes it hard for them. The following paragraphs will present a few situations with legitimate reasons for a chargeback:
- Fraud/unauthorized use: someone uses the player’s account details without consent;
- Non-receipt of funds: the casino didn’t receive the deposit the user made and doesn’t want to provide the winnings;
- Failure to honor the terms: the player claimed a bonus, for example, and the casino didn’t deliver its benefits;
- Errors: the casino takes more money from your account than it should have, by mistake.
These are all valid motivations for a gamer to want to get their funds back. But, illegitimately, the user can also simply use a bonus or play a game, lose everything and blame it on the casino and its errors. This is a concept known as friendly fraud and is much more prevalent than expected.
What does the dispute process look like
Considering this is a legal process that involves the bank, gamblers must be well prepared to support their case if they actually want to win and know they are right. Some tips that players would benefit from if taken into consideration are:
- Collecting evidence like screenshots, transactions and any other materials that can show what the gambler wants to prove;
- Contacting the bank as soon as possible, because every minute counts in this type of process, then informing them about your wish to chargeback;
- Submitting the documents along with a thorough and accurate explanation;
- Staying ready for any other interventions, as the bank might ask for more details;
- Waiting for the decision, which can take a couple of weeks, and the bank can reverse the refund.
For a better understanding of the process, here are a few more details:
- Once you file the claim, the bank reviews it and can choose to refund the player’s lost money temporarily;
- Your bank contacts the casino’s bank to inform them about the dispute, and then the casino receives a notice as well;
- In this part of the procedure, called “representment”, the casino has the chance to respond and submit a document with evidence, too;
- The bank issues a final decision after reviewing both pieces of evidence.
Time limits
When noticing a strange transaction, the gambler needs to act immediately, because actually chargebacks have strict time limits that start when the bank authorizes the transaction, not when the person realizes something is wrong.
Moreover, each payment processor has different rules, but for most of them, the time limit is 120 days. Another important point is that gamers can’t file a chargeback if they used cryptocurrency payments.
Serious risks to know about
If someone plans to file a chargeback, they must know that the outcomes are not so positive, especially if the casino deems it invalid. The bank can also play a role by flagging the account if it notices too many chargebacks with weak claims.
Here are some other risks that it would be helpful for players to know of:
- The customer is blacklisted, and the casino shares this information with its partners or sister casinos.
- The casino simply closes the account as soon as possible, and the user won’t be able to play there anymore;
- The casino forfeits the player’s bonus funds or any other benefits.
Conclusions
The chargeback, as a concept, represents a really good solution for gamblers who actually go through a tough time with their data being stolen or a similar situation. But they need to be really thorough with the evidence they provide and even take preventive measures to make sure they have proof in cases like this.
Being a long process, they require patience, a good dose of luck, and being prompt when the bank asks for more information.
