P2P
Two words scare new people in P2P processing more than anything else: chargeback and cyber complaint. Once you understand how they work, they stop being scary — they are a normal part of this business. Here is the full picture in plain words.
What is a chargeback?
A chargeback is a payment that has already gone through and is later reversed. The money arrives in the account, and then it gets taken back. The person who made the deposit contacts their bank, claims something is wrong with the transaction, and the bank opens a dispute to recover the money from the receiving side.
Who starts a chargeback and how it happens
Usually it is the end user on the merchant side — the person who made a deposit and then wanted the money back. They open a dispute through their own bank, and the bank sends a reversal request down the chain. Nobody calls you or warns you in advance: after some time you simply see the payment appear as a transaction reversal.
What is a cyber complaint?
A cyber complaint works differently, and in India it is especially important to understand. Here the person does not go to the bank first. They file a complaint on the cybercrime portal (cybercrime.gov.in) or call the 1930 helpline and claim the transaction was fraud. When that complaint enters the system, the bank account that received the money can be frozen or put on hold while it is investigated.
The short version.A chargeback returns the money to the payer. A cyber complaint can freeze the receiving account.
Why do they happen?
Most of the time the story is the same: someone made a deposit, lost the money, got upset and wanted it back — so they dispute the transaction or file a complaint. Sometimes it is genuine fraud, sometimes the person is simply acting dishonestly to get their money back.
The key point: these situations are largely random. They depend on the merchant and the kind of users it attracts — not on you as a trader. You can do everything correctly and still face one. There is no fixed rate for a given period: one complaint this month, twenty the next.
What percentage should you expect?
The honest answer: chargebacks and cyber complaints usually make up a small part of total turnover, and there is no fixed percentage. A reliable merchant has almost no such cases, a problematic one has more. That is why you should never judge by a single day — look at the whole volume over time.
How to get the money back
If an account is frozen because of a cyber complaint, you need to provide evidence: transaction details, records and documents showing the transfer was made for a legitimate reason. Once the bank and the cybercrime department review them, the freeze may be lifted. A chargeback dispute is handled on the platform and merchant side with the same kind of evidence.
Who actually covers the loss depends on the rules of the platform you work with. Many platforms fully cover chargebacks and cyber complaints and protect the trader; on others the terms are completely different.
Ask one question before you start."Who covers chargebacks and cyber complaints?" The answer tells you how well your money is protected.
Compare how each platform handles it on the offers page, read the step-by-step guide on frozen accounts, and check unfamiliar terms in the P2P glossary. Questions — message me on Telegram @TravisTL.
