|A chargeback is a transaction in reverse. Rather than putting money into your account, it takes money out. And you have to pay a fee for every chargeback. Plus, if you get too many, your processing account could be closed. Understand why Merchants don't love Chargebacks? There are various reasons that a transaction can be disputed and returned through the chargeback process, but most Chargebacks occur as a result of fraud. So, if you can reduce fraudulent transactions, you'll have fewer Chargebacks.