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How are ACH Returns Different from Chargebacks in Credit Card Transactions?
How are ACH Returns Different from Chargebacks in Credit Card Transactions?
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Written by Treez Admin
Updated over a week ago
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ACH returns and credit card chargebacks differ in their initiation and underlying reasons. ACH returns arise when the customer's bank initiates the return due to payment-related issues, such as insufficient funds.

In contrast, chargebacks occur when the cardholder disputes a credit card transaction.

Despite their differences, both ACH returns and chargebacks can make it difficult to recover the chargeback amount from the customer.

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