Step 5.4 — Chargeback Identification and Handling

Triggered by: Weekly HaulPay portal review — same day every week (suggested: Monday morning). Feeds into: Step 7.2 Weekly Cadence and Step 5.5 Reserve Reconciliation.

Note

This is the single highest-value control in the entire Forza accounting workflow.

Per tech stack meeting: “No notice is given. CBGB reporting is available on portal.” HaulPay does not proactively notify Forza when a chargeback occurs. The only way to know is to check the portal. This is exactly the risk the CBCG Report identified — undocumented chargebacks, silent margin erosion, no operational visibility by default.


🎯 Ideal State

The compensating control: Forza performs a weekly HaulPay portal review to identify any new chargebacks. If this review doesn’t happen, chargebacks accumulate invisibly until monthly reserve reconciliation (Step 5.5) surfaces them — weeks after the fact.

The Weekly Chargeback Review — Core Workflow

Cadence: Weekly. Same day of the week every week (suggested: Monday morning to review prior week’s activity). Who: Concetta (Accounting). This is a standing Accounting responsibility — not a Founder/CEO task or Ops task. Duration: 15–30 minutes per week.

Steps:

  1. Log into HaulPay portal.
  2. Navigate to the chargebacks section.
  3. Review all chargebacks dated within the past 7 days (or since last review).
  4. For each new chargeback: identify load number, invoice number, and Shipper; capture reason and amount; locate the load in EZ-Loader; cross-check against prior notifications or short-pay investigations.
  5. Log every chargeback in the chargeback tracker.
  6. Triage each chargeback — recoverable issue or accepted loss?
  7. Initiate appropriate action path.

Chargeback Action Paths

Chargeback ReasonAction Path
Shipper non-payment past aging window (Tier 2 recourse)Investigate why Shipper didn’t pay. Follow up directly — may be recoverable if Shipper-side oversight rather than a dispute.
Fraud (e.g., double-brokered load)James investigation. May involve Highway / Carrier 411 fraud tools. Potentially unrecoverable.
Disputed load (cargo claim, service failure)Open or continue cargo claim process (Appendix A). Chargeback persists until claim resolves.
Cancelled loadVerify cancellation was properly recorded — if not, resubmit correctly.
Shipper credit deteriorationEscalate to Nick immediately — may signal need to change Shipper status (credit hold, move to self-finance, or off-board).
Unknown / no reason providedContact HaulPay for clarification. Treat as investigation-required until explained.

Escalation Protocol

Material chargebacks (above a threshold — to be defined by Nick) or patterns across Shippers escalate to Nick. Accumulating chargebacks for a single Shipper is a credit-quality signal.

The Chargeback Tracker — 10 Required Fields

FieldPurpose
Date identifiedWeekly review date
Chargeback date per HaulPayWhen HaulPay actually posted the chargeback
Identification lagDays between chargeback posting and Forza identification — should trend to ≤ 7 days
Load number / invoice numberFor cross-reference
ShipperFor pattern detection
AmountFor financial tracking
ReasonCategorized per action paths above
StatusOpen / In Investigation / Recovered / Accepted Loss
ResolutionFinal outcome
Days to resolutionFor SLA tracking

Pattern Analysis → Upstream Process Fixes

Recurring Chargeback CauseUpstream Fix
Documentation missing at submissionStep 4.1 completeness gate + Step 1.6 configuration
Reference numbers wrongStep 3.1 enforcement via Step 1.6
Shipper credit issuesHaulPay credit check (Step 1.3) + ongoing credit monitoring
Operational service failuresPhase 3 execution discipline

Aging window awareness: The recourse aging window is unknown per tech stack meeting (“Don’t know — Concetta will find out for us”). Knowing this window lets Accounting proactively chase at-risk Shippers before the chargeback trigger.

Owner: Concetta (weekly review and tracking). James (fraud/service failure investigation). Nick (material chargebacks, Shipper credit decisions).

🤖 SYSTEM AUTOMATION:

None in current state — HaulPay doesn’t notify. Future automation opportunity: if HaulPay ever delivers proactive notification, integrate it. For now, the weekly human review is the control.

🛑 HARD GATE:

No Phase 5 monthly close completes without the prior week’s chargeback review completed. Missing even one weekly review means chargebacks accumulate into the unknown — exactly reproducing the CBCG Report conditions.


📍 Current State

  • Chargebacks per tech stack meeting: “No notice is given. CBGB reporting is available on portal.”
  • Per tech stack meeting: “Has Forza experienced chargebacks beyond the CBCG report?” — Answer: “No.” Recent chargeback volume is low.
  • No documented weekly chargeback review workflow.
  • No chargeback tracker — chargebacks handled case-by-case when Accounting happens to see them.
  • No aging window knowledge for proactive pre-chargeback chase (Concetta action item).
  • No defined material-chargeback threshold for Nick escalation.

🚧 Gap

  1. No weekly chargeback review SOP — the single highest-value compensating control doesn’t exist.
  2. No chargeback tracker — historical chargeback data not captured systematically.
  3. Aging window unknown — can’t proactively chase at-risk Shippers before the chargeback trigger.
  4. No escalation threshold for material chargebacks.
  5. Pattern detection missing — recurring causes don’t feed back to upstream process fixes.
  6. Identification lag unmeasured — no way to know how delayed chargeback discovery has been.

🛠️ Gap Closure Actions

  • Establish the weekly chargeback review as a standing Accounting responsibility. Same day every week. Non-negotiable. Owner: Casey + Concetta | Effort: Policy — highest priority
  • Document the chargeback review SOP with the 7-step workflow, 6 reason/action paths, and portal navigation specifics Owner: Casey + Concetta | Effort: Low
  • Build the chargeback tracker (10 fields defined above) as a structured log Owner: Casey + Concetta | Effort: Low
  • Confirm HaulPay factoring aging window Owner: Concetta + HaulPay | Effort: External
  • Define material-chargeback escalation threshold (dollar amount or % of monthly volume) Owner: Casey + Nick + Concetta | Effort: Policy
  • Establish at-risk Shipper chase protocol — proactively contact Shippers whose Tier 2 invoices are approaching the aging window Owner: Casey + Concetta | Dependency: Aging window confirmed | Effort: Medium
  • Add chargeback metrics and pattern analysis to Phase 7 monitoring cadence Owner: Casey + Concetta | Effort: Low