How do prevention alerts work?

Prevention alerts are a chargeback management tool provided by Ethoca and Verifi. Kount partners with both vendors to give clients multiple layers of protection.

The issuing (cardholder) bank initiates the alert process, Kount accepts the alert on the business’s behalf, and the business is notified that a transaction has been disputed. 

This process gives a business time to review the situation and resolve the issue before a chargeback happens.

What to do when you get an alert

Once you get an alert, you typically have about 24 hours to respond. With the extra time, you can decide how you want to handle the dispute.

1. Give the cardholder a full or partial refund.

Usually your best option is to refund the cardholder. Taking this action quickly resolves the dispute and prevents you from dealing with a chargeback.

2. Deny the request and risk a chargeback.

If you suspect a claim is invalid, you can deny the request. Sometimes the case may not advance to a chargeback. But in the event that it does, you can fight invalid chargebacks with compelling evidence.

3. Submit evidence of prior resolution.

If you already issued a refund before the cardholder filed a dispute, you can submit that evidence to banks. 

After you decide on a response, you’ll let the bank know what action was taken and if a chargeback can be avoided. 

Check out the prevention alerts page to learn more.