Glossary
What is a chargeback?
A chargeback is a deduction a buyer takes against an invoice for a fault in the goods or the shipment.
In fabric the usual causes are shade variation across lots, short yardage, late delivery, or paperwork that does not match the purchase order. The buyer pays less than invoiced and states why.
Chargebacks are the reason dye lot discipline pays for itself. The goods come back, freight is paid both ways, the labour is already spent, and the buyer’s confidence takes a share of the loss too.