An ACH return (chargeback) is when a transaction cannot be processed in the Automated Clearing House. ACH transactions are not processed in real time, so they can be rejected or returned after the transaction is settled. A chargeback occurs when a bank returns an Electronic Funds Transfer (EFT) to the shopper’s bank. ACH returns can happen for many reasons, including insufficient funds, closed accounts, invalid shopper details, or stopped payment orders.

When the shopper’s bank overturns the transaction, the money is forcibly withdrawn from AndDone and transferred back to the shopper, giving the shopper a refund. Finally, the shopper’s bank notifies AndDone of the chargeback by producing a chargeback reason code and submitting the relevant data.  This can happen within two banking days to up to 60 calendar days.

This creates a scenario where AndDone may payout a Settled payment that can be returned as a chargeback.  AndDone does not automatically claw back or debit your account to recover these funds.  Instead, you will receive an email from support@anddone.com, where we provide a payback link to reimburse AndDone. 

You can complete the payment link or forward it to your insured to complete. The payment link is configured for the exact amount of this transaction that was originated and can be completed via ACH or credit card.

Not all chargeback events are NSF (Insufficient Funds).  Please note the reason code listed in the email communication and refer to the description in this article.

Understanding ACH Return Codes

***If the shopper makes their payment by any method other than the payment link, those funds will still be disbursed to the Merchant and will still need to be refunded to AndDone via a payment link.