Use of chargebacks to resolve disputes rising in travel industry

Washington

FOR better or worse, travellers are turning to a last-ditch tactic to resolve their disagreements with airlines, car-rental companies or hotels: instigating credit-card disputes.

Chargebacks are on the rise in travel. A chargeback voids a credit-card transaction by withdrawing funds that were previously deposited into a merchant's bank account and applying credit back to your card. Think of it as a way to reverse your charges. And even though experts caution against using this tack because you don't enjoy a vacation or disagree with an unfair policy, the odds are in your favour.