Chargeback (Vendor)
Updated: · GrowNow team
A chargeback is a charge Amazon deducts from a supplier’s invoices under the Vendor model for operational errors, such as late or incomplete deliveries, incorrect labelling or packaging that doesn’t meet Amazon’s requirements.
Chargebacks are part of the settlement, alongside the trading terms negotiated every year.
Why it matters for manufacturers
Chargebacks reduce the margin on every delivery. Getting the supply chain right from the first PO keeps them low.
See also
Legal basis and sources (as of 2 November 2026)