What it means
The cardholder says they're owed a full or partial refund (because they cancelled, returned something or didn't fully use it) and you haven't given it. On Stripe the dispute shows the reason Credit not processed, with codes such as Visa 13.6 (Credit Not Processed), Visa 13.7 (Canceled Merchandise/Services), Mastercard 4860 or American Express C02.
Why software, course and membership customers file it
- They asked for a refund outside your refund window, you declined, and they went to their bank.
- You promised a refund and it hasn't arrived yet, or hasn't been processed.
- They cancelled partway through a period and expect money back for the unused part.
- They think a "money-back guarantee" applies when its conditions weren't met.
What wins it
Stripe's guidance is to show either that you already refunded what they're owed, or that they aren't entitled to a refund:
| Evidence | Stripe field |
|---|---|
| Your refund or cancellation policy, as the customer saw it | refund_policy, cancellation_policy |
| How and where they saw it before paying | refund_policy_disclosure, cancellation_policy_disclosure |
| Why they aren't entitled to a refund, or to any more than you gave | refund_refusal_explanation, cancellation_rebuttal |
| Your conversation about the refund, or a note that they never asked | customer_communication |
| A refund already made, or how much of the product they used | uncategorized_text, uncategorized_file |
What makes the case for software and courses:
- The refund clause, word for word. For example, "Full refund within 14 days if less than 25% of lessons are completed." Then show the dates and usage that put this customer outside it.
- How they agreed to it. A required checkbox at checkout, or the policy shown on the payment page.
- Usage. Under a usage-based refund policy, the customer's activity log is the deciding evidence.
- Your refund, if you made one. The date and amount of a partial refund show you followed your own policy.
What doesn't work, and when to accept
- A policy the customer never saw. A refund clause hidden in long terms with no link at checkout carries little weight.
- Refusing a refund your policy allows. If they qualified under your own terms, the claim is right.
If you promised a refund and didn't process it, accept the dispute. Don't refund separately as well.
How Flatfight handles it
Flatfight quotes the relevant clause from your refund or cancellation policy (read from your website and reviewed by you), states how customers accept it at checkout, and adds the customer's usage and any refunds from Stripe. If your support inbox is connected, the refund conversation is included too.
FAQ
My policy says no refunds. Is that enough?
It helps, but issuers also look at whether the customer saw it before paying and whether it's reasonable. Show how it was disclosed at checkout.
What about consumer cooling-off rights?
Some customers have legal rights to cancel, such as the 14-day withdrawal right for consumers in the EU and UK, which usually ends early if they start using digital content with their consent. Make sure your policy reflects the law where your customers are.