The Dispute Program for Partners monitors dispute performance against High and Excessive thresholds. Merchants that stay above both the dispute rate and dispute volume conditions for three consecutive calendar months enter the program.
Calculation
The applicable ratios are calculated based on the number of disputed orders categorized as Included Disputes, divided by all orders for a Partner, resulting in a Dispute rate. Only the first dispute of an order is counted toward this metric. These ratios are calculated on a calendar month basis using the following definition:
➤ June Rate = monthly number of disputes for a Partner for May / monthly number of orders for a Partner for May
- The rate attributed to a calendar month uses dispute and order counts from the previous calendar month.
- Only the first dispute of an order is counted toward Included Disputes.
Criteria
A merchant enters the Dispute Program when both conditions are met for three consecutive calendar months.
- Dispute rate greater than 1.5% for 3 consecutive calendar months, and
- At least 20 disputes per month for 3 consecutive calendar months
- Dispute rate greater than 2% for 3 consecutive calendar months, and
- At least 20 disputes per month for 3 consecutive calendar months
Implications
High threshold implications
| Months in program | Implications |
|---|---|
| Month 1-3 | Remediation period. |
| Month 4-6 |
|
| Month 7 and onwards |
|
Excessive threshold implications
| Months in program | Implications |
|---|---|
| Month 1-3 |
|
| Month 4 and onwards |
|
Exit
A Partner exits the Dispute Program if it is below the program thresholds for 3 consecutive calendar months.