Which statement is true about EFWs and disputes?

Which statement is true about EFWs and disputes?

• A. EFWs become disputes 65-90% of the time.
• B. EFWs never become disputes.
• C. EFWs are always resolved with refunds.
• D. EFWs only apply to offline transactions.

Answer: (A)

EFWs are events that often move a transaction into the dispute process. The fact that the observed conversion rate is high—around two-thirds to almost all cases—means that when an EFW occurs, it’s very common for the situation to escalate to a formal dispute with the issuer. So this statement captures the typical outcome: EFWs become disputes most of the time, not rarely. That doesn’t mean refunds are guaranteed, and it doesn’t imply EFWs only happen for offline transactions. Some EFWs can be resolved without a dispute if the evidence suffices, and EFWs can occur for both online and offline transactions. The key takeaway is that EFWs signal a high likelihood of a dispute, so be prepared with solid documentation to support the case.

EFWs are events that often move a transaction into the dispute process. The fact that the observed conversion rate is high—around two-thirds to almost all cases—means that when an EFW occurs, it’s very common for the situation to escalate to a formal dispute with the issuer. So this statement captures the typical outcome: EFWs become disputes most of the time, not rarely.

That doesn’t mean refunds are guaranteed, and it doesn’t imply EFWs only happen for offline transactions. Some EFWs can be resolved without a dispute if the evidence suffices, and EFWs can occur for both online and offline transactions. The key takeaway is that EFWs signal a high likelihood of a dispute, so be prepared with solid documentation to support the case.