Pretty sure Mastercard does not allow banks to charge a fee for doing chargebacks.
The merchant is always the one that gets charged the chargeback fee.
So I would report this to Mastercard. A customer is never supposed to pay for the any dispute fees. The customers should be fully protected and reimbursed in case of fraud.
Quote:
Credit card payments processed by Visa, MasterCard, American Express and Discover are subject to a “zero liability” policy—a guarantee that you will not be held responsible for any fraudulent charges.
If someone has used your card without your permission, your maximum liability under federal law is $50 per card.
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I would really report this to Mastercard, it is illegal what they do