Q&A: Chargebacks

What is a chargeback?

A chargeback is a type of dispute where a credit card transaction is reversed and the funds are returned to the cardholder. Chargebacks can be initiated by the cardholder or by the card issuer and are typically used to resolve issues such as fraud, merchant errors, or goods/services not being delivered as promised.

What steps does Showpass take when a dispute is initiated?

Please note: Showpass can and will respond to a disputed transaction when the organizer is on Showpass’s payment processor. If an organizer is on a payment processor of their own, it will be up to them to respond to any incoming disputes.

The organizer will be notified through email that a dispute has been initiated. At this point in time, no action is required by the event organizer. We are often able to connect with the customer and agree that the charge was legitimate. In many cases, we are successful in reaching an understanding, and we ask the customer to contact their bank and withdraw the dispute.

If the EO can provide us with any further proof that the transaction was intentional we welcome they share that with us by emailing clients@showpass.com

In the case Showpass is required to respond to a dispute:

Our approach involves submitting evidence, such as previous transactions and ticket status if the tickets were scanned, and reaching out to the customer to determine if there has been any fraudulent activity on their card. Our team will also provide communications we’ve had with the ticket buyer (if any) in the case these communications support that the purchase was legitimate.

What happens if a chargeback is lost?

In the event that the bank rules in favor of the cardholder, the transaction will be refunded and an administrative fee of $15 will be incurred by the organization.

Note: If we are able to reach an understanding after the bank has already ruled in favour of the cardholder, we will send them a Supportive Resolution invoice to cover the refunded amount, and the organization will also be refunded the $15 chargeback administrative fee in this scenario.

When do holdbacks occur? 

Showpass may also holdback funds from a payout to cover any chargebacks if we feel the event may have a large number of fraudulent activity or chargebacks, as per our terms of service.

What other steps does Showpass take to mitigate fraud?

For events with a high risk of fraud, we can turn off the ticket transfers feature, as well as enable Stripe Radar. Radar sets a number of roles to reduce the risk of potential fraudulent activity, such as requiring 3D Secure authentication at checkout to predict and block fraudulent payments.


Click here for more information on Stripe Radar.

Please note: Payment plans are not compatible with Stripe Radar.


What can clients do to help prevent and mitigate fraud?

Clients are also able to help mitigate fraud by:

  • Updating the venue's statement descriptor
  • Turning off guest checkout if there are fraud concerns
  • Monitor transactions
  • Set up a secure, trusted, and reliable website for the organization

Showpass takes your financial security seriously. If you have any questions or concerns regarding your payment history, please reach out to your Client Success Manager.