# Refunds & Disputes

Zotlo allows you to manage refunds for any payment and provides clear visibility into dispute outcomes. Chargebacks do **not** appear as a live “dispute state” in the Dashboard, Zotlo updates the payment once the dispute is finalized by the bank or intercepted by a preventer service.

## **Refunds**

You can issue **full or partial refunds**. Refunds can be initiated from the **Payment Details** page, the **Subscription Details** page, or via the [**Refund API**](https://docs.zotlo.com/integrating-zotlo/api-reference/payments-endpoints/refund-payment).

### **Refund behavior**

* Refunds are always processed using the **original transaction amount and currency**.
* A refund **does not modify** historical billing records.
* Partial refunds **do not cancel** subscriptions unless you explicitly cancel them.
* Refunding a renewal charge may cancel the subscription depending on the rules.

### **Access control after refund**

Refunds do **not automatically** change user access. Your app decides whether:

* Access continues until `expire_date`, or
* Access stops immediately after refund

## **Chargebacks (Disputes)**

### **How chargebacks appear**

Zotlo does not display a separate “dispute” status. Instead:

* If a chargeback is finalized by the bank, the payment is marked as **Refunded**.
* The refund reason shows one of the following:
  * **chargeback\_dispute** : The bank reversed the payment
  * **chargeback\_prevented** : A chargeback preventer service stopped the dispute before it reached the bank

This gives full transparency while keeping the interface clean and consistent.

### **Subscription impact**

* If a chargeback is finalized → the related subscription generally becomes **canceled**
* All access rules remain controlled by your application (`expire_date` vs immediate block)

## **Who Handles the Dispute?**

### **MoR Model**

When Zotlo is the **Merchant of Record**:

* Zotlo handles the entire dispute process with the bank/PSP
* Zotlo manages chargeback responses
* Zotlo updates payment status & reason after the dispute is resolved
* No action is required from the merchant

### **Connected PSP Mode**

When the merchant uses their **own PSP account**:

* Dispute handling is the merchant’s responsibility
* The PSP will notify the merchant directly