---
title: "What is Merchant of record? | Benefit Systems"
description: "The merchant of record is the party that appears on the card statement and is therefore the legal counterparty to the payment."
source: "aus dem gebauten HTML abgeleitet"
---
# What is Merchant of record?

The merchant of record is the party that appears on the card statement and is therefore the legal counterparty to the payment.

Also called: Merchant model.

## How it works #

With agencies that charge in advance, that is the agency rather than the hotel or airline, which is decisive for refunds and chargebacks. The statement shows it directly. Complaining to the wrong party during a disruption costs time and, in the worst case, the deadline for a chargeback.

## Not to be confused with #

The merchant of record is not the same as the service provider: the hotel provides the stay, yet the agency can still be the counterparty to the payment.

## In German #

The German term is Zahlungsempfänger. [German version of this term](/de/glossar/zahlungsempfaenger)

## Related terms #

- [Chargeback](/en/glossary/chargeback): A chargeback is the reversal of a card payment through your own bank when a paid-for service was not delivered or not delivered as agreed.
- [Online travel agency](/en/glossary/online-travel-agency): An online travel agency is an intermediary that sells flights and hotels in its own name, sitting between the traveller and the airline or hotel.
- [Refund](/en/glossary/refund): A refund is the repayment of the fare when a flight is cancelled or the passenger no longer wants to travel after a disruption.

## Articles that use this term #

- [Book direct or through an online travel agency?](/en/knowledge/direct-vs-ota)
- [What is a chargeback and when does it apply?](/en/knowledge/chargeback)
- [When do you get money back for a flight you didn’t take?](/en/knowledge/refunds-for-unused-flights)