Chargeback Crisis Resolution
This Ospina case study documents how Carlos Rico-Ospina approached a specific risk, infrastructure, revenue, or research problem and what was built to address it.
Reversed a processor termination and converted a $2M chargeback surge into a structured recovery—by proving survival was more profitable than shutdown.
The Problem
Following a major platform disruption, a surge of disputes hit all at once. Roughly $2M in chargebacks accumulated in approximately 4 weeks. The processor terminated processing—an existential bind. Without card acceptance, revenue stops. Without revenue, resolving liability becomes impossible. Principals risked becoming 'unbankable' for future merchant accounts.
The Insight
This wasn't a 'fight every chargeback' situation—it was risk containment and credibility. If the processor kept the business alive, they could recover materially more exposure. If they kept it shut down, they'd maximize losses. The solution was to prove survivability with data, then execute remediation with unusual transparency and speed.
What I Built
- Worked directly with processor risk leadership to negotiate payment plan and re-onboarding path
- Built survival-based risk analysis: 'keeping processing alive increases probability of full repayment'
- Partnered with chargeback operations team to design and run response workflow
- Leveraged KYC and user-level evidence to strengthen representment packages
Outcomes
- Processor brought firm back under structured plan after termination
- Full repayment achieved on chargeback exposure
- Processing resumed with modest fee adjustment (cost + 50bps → cost + 75bps)
- Avoided catastrophic 'no processing → no revenue → no repayment' loop
Why It Matters
Successfully reversed a processing termination—something that usually becomes permanent in high-risk categories.
Made it rational for the processor to support the business because expected value of cooperation exceeded shutdown.
Processor and client names anonymized. Relationships with risk leadership and operations teams verifiable upon request.
Have a Similar Challenge?
Let's discuss how I can help you achieve similar results.
Start a Conversation