Learn what disputes are, how they work, and what steps you can take to help prevent them. 

Note: Pixieset Payments is available to Studio Manager users in the United States and Canada.

On this page:

• What are disputes?
• Preventing disputes
• How disputes work
  • What are inquiries?
• Responding to a dispute
  • Providing evidence
• Dispute resolutions and next steps

What are disputes?

After making a payment, a client may dispute the charge with their bank. Disputes (also known as chargebacks) can happen to photographers for various reasons. For example, the client may claim they didn’t receive the service or photos they paid for, or that they didn’t authorize the charge in the first place.

While handling disputes can feel intimidating and sometimes uncomfortable, you have the right as a business owner to challenge them when your charges are legitimate. Successfully countering a dispute protects your income and your business’s reputation.

This guide will help you understand the dispute process, how to proactively prevent disputes, and what to expect if you receive one in Pixieset.

Already received a dispute? Jump straight to our step-by-step guide on How to Respond to a Dispute in Pixieset Payments

Preventing disputes

The best way to handle disputes in your business is to prevent them from happening in the first place. While not all disputes can be avoided, you can significantly minimize the risk of one by following some best business practices:

• Set clear terms with contracts: Before committing to client work, require that your client signs a well-written contract that outlines the scope of your service, payment details, refund policies, and client responsibilities. A contract helps keep everyone on the same page and provides clarity in case of any questions.
• Provide detailed invoices: When invoicing your client, clearly state what they are being charged for. Detailed descriptions for each line item help prevent any unexpected surprises during the payment step, and can serve as clear evidence that your client agreed to the charges.
• Maintain open communication: Take a proactive approach towards client concerns to reduce unnecessary escalations. A transparent refund policy can go a long way in reducing billing disputes.
• Be mindful of red flags when booking clients: While rare, some disputes may come from fraudulent or bad-faith bookings. If something feels unusual, take a moment to review the details before accepting.
  • Be cautious of vague or impersonal inquiries (e.g. “I need a photographer for an event” with no date or location).
  • Watch for clients who seem rushed, unwilling to sign a contract, or avoid sharing basic information.
  • Never accept an overpayment with a request to refund or transfer the difference elsewhere, this is a common scam tactic.

Important: If your client files a dispute but then withdraws it, you should still counter it to fully prevent it. A withdrawn dispute may still resolve as a loss if you do not submit evidence to challenge it.

How disputes work

When a client disputes a charge, the bank immediately puts the funds on hold, and the amount is deducted from your payout balance. If your payout balance is not sufficient, the difference is withdrawn from your bank account. This does not mean you have automatically lost the dispute.

Instead, by providing strong evidence that the transaction was valid, you can counter the dispute. As long as you meet the provided deadline, the bank will take your evidence into account when deciding the final outcome:

• If you win the dispute, the amount is returned to you.
• If you lose the dispute, the amount remains with the client.

Note: If you receive an inquiry instead of a dispute, you’ll have the opportunity to provide evidence before any funds are withdrawn by the bank. Responding quickly at this stage can often prevent a formal dispute altogether.

What are inquiries?

Sometimes, instead of a full dispute, a client’s bank may open an inquiry to gather more information about a payment. An inquiry is not yet a dispute, and no funds have been deducted from your account at this stage.

You can think of it as a chance to prevent a dispute—the bank is simply asking for clarification before deciding whether to move forward with a chargeback.

If you receive an inquiry:

• You can respond through Pixieset by providing the requested details or evidence.
• You can also issue a refund directly if you agree the client should be refunded. Once refunded, no further funds or fees will be deducted from your account.
• Even if you issue a refund, you should still respond to the inquiry with proof of refund to prevent it from escalating to a full dispute.

Acting quickly at the inquiry stage is often the easiest way to avoid additional fees or a formal chargeback.

You can respond to an inquiry in the same way as a dispute. See our step-by-step guide on How to Respond to a Dispute

Responding to a dispute

When you receive a dispute, you have two options:

• Counter the dispute by submitting evidence to challenge the claim.
• Accept the dispute if you agree the client should receive the funds back, or if it’s not worth contesting.

Dispute fees:

• Each dispute incurs a $15 network dispute fee. This fee is set by the card networks (such as Visa and Mastercard) and applies whenever a dispute is created through a customer’s bank. It covers the processing costs charged by the card 
• If you choose to counter, there is an additional $15 dispute counter fee applied if you lose the dispute. This fee is not applied if you accept the dispute, or counter and win.

It’s important to weigh these fees along with the disputed amount and the strength of your evidence before deciding how to respond.

For step-by-step instructions and evidence guidelines, see: How to Respond to a Dispute in Pixieset Payments.

Dispute resolutions and next steps

Once a dispute is resolved, it’s important to take a few next steps to protect your business and maintain client trust.

If you win the dispute:

• The amount will be returned to you.
• Consider sending a polite follow up to your client to help clear up misunderstandings and preserve goodwill.
• Reflect on what caused the dispute in the first place. Could clearer communication, updated contract language, or more transparent policies help prevent similar issues?

If you lose the dispute:

• The amount will not be returned to you.

• Review the evidence you submitted. Did you miss any documentation or could anything have been presented more clearly? Use this information to strengthen how you handle future disputes.

Regardless of the outcome, disputes are an opportunity to review your business practises and improve client communication. Keeping clear documentation and staying proactive can help prevent similar cases in the future.

If you need assistance navigating a dispute, our support team is here to help. From your Studio Manager Dashboard, get in touch by clicking the chat bubble in the bottom right corner.