Bank adequately investigated customer’s chargeback request

In 2022, Santiago signed up for an online trading service. The subscription fee was $7,000, which Santiago said the service stated was fully refundable if he was not satisfied with the service. He wasn't, so he cancelled the service and asked for a refund.
September 2023

The merchant declined, saying its terms and conditions stipulated the fee was non-refundable. Santiago asked his bank to charge back the transaction, and the bank attempted to do so. The merchant resisted the chargeback because it said it disclosed to Santiago that the fee was non-refundable when he signed up. Santiago disagreed, saying the merchant had recently changed its terms and conditions and at the time he signed up for the service, these said the fee was refundable. The dispute went to the card provider, which sided with the merchant. Santiago complained that the bank failed to properly investigate his chargeback request.

Our investigation

We found the bank had complied with its chargeback obligations. It had given Santiago the opportunity to provide statements and information, and referred the matter to the card provider for arbitration when the merchant resisted the chargeback. The bank was not responsible for the fact the card provider ruled against Santiago.


We did not uphold Santiago's complaint.

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