POSitive Processing Blog
Chargebacks: What Are They and How to Avoid Them
Wednesday, April 3, 2019
When you hear the word ‘chargeback’
how does it make you feel? Mad, scared, annoyed, confused?
A chargeback is the reversal of a
credit card payment that comes directly from the bank. Chargebacks are designed
to keep customers feeling secure from sub-par products or services, undelivered
goods, and criminal fraud.
Unfortunately, customers can also abuse
the chargeback process (friendly fraud) by claiming legitimate purchases are
fraudulent.
Below are some ways to avoid
chargebacks:
Provide contact information
Buyers
may not resort to a dispute or chargeback if they can talk to you about the
issue. Provide an email address or phone number, or even call buyers in advance
when you'reselling higher-priced items.
Be responsive
No
one likes to wait. Respond quickly and professionally to all reasonable buyer
inquiries.
Provide a clear return policy
Make sure your return and refund policies are easy
to find and understand.
Use a clear payment descriptor.
Your payment descriptor should be the name of your business.
If a consumer does not recognize the name on their credit card statements, they
will be more likely to file a chargeback.
Learn to spot warning signs of fraud
Train staff to be on the lookout for suspicious
transactions, verify signatures in card- present transactions and to obtain
signatures on contracts and sales orders when appropriate.
Keep good records
Keep accurate records of customers' credit card transaction
dates, amounts and authorization information, in case you need them to fight a chargeback. Signed receipts or contracts are good to keep on hand too. This
information will help win a chargeback dispute against a customer who is
unfairly trying to take advantage of the system or who may have simply forgot
about the purchase.
What should you do if you receive a chargeback?
· Know your representment rights to avoid unnecessary losses for
your business.
· Act promptly when customers with valid disputes deserve credits.
· When cardholders contact you directly to resolve a dispute, issue
the credit on a timely basis to avoid unnecessary disputes and their associated
chargeback processing costs.
· Let cardholders know immediately of the impending credit.
· Address all of the cardholder’s pertinent claims.
· Be sure to supply “compelling” information to prove the true
cardholder participated in the transaction, received the goods or services, and
benefited from the transaction when appropriate.
If you have any questions about chargebacks you can give us a
call at 866.888.9724 Ext. 7.
|
|
|
Blog Categories
Miscellaneous
11/21/2019 - Shortened Shopping Season
06/21/2019 - VeriFone Terminals
02/27/2019 - Take The Hassle Out Of Tax Sea
02/13/2018 - Innovative Visa Wearables Make
02/13/2018 - Little-Known Secrets of Credit
07/19/2017 - Beat the Summertime Blues
Just For Fun
11/14/2018 - Thanksgiving Fun Facts
05/24/2017 - Facts You Might Not Know (or M
03/13/2017 - Keys To Success — 8 To Be Grea
09/02/2016 - Happy Labor Day Weekend!
Payments Industry
03/06/2019 - Merchant Rules To Live By
01/09/2019 - Account Tune Up for the New Ye
09/19/2018 - Has Your Bottom Line Seen the
09/18/2018 - Are Your Business Merchants’ S
05/22/2018 - Interchange Explained
04/11/2018 - What to Avoid When Searching f
04/06/2018 - The Importance of Choosing You
12/21/2017 - The Basics of Chargebacks
12/12/2017 - No Need to Sign on the Dotted
07/26/2017 - Back to the Basics - Merchant
03/17/2017 - Innovation Project 2017
Products and Services
01/29/2020 - Let Us Help You Reach Your Goa
07/31/2019 - Mid-Summer Reboot
10/03/2018 - Are Your Business Customers Se
08/15/2018 - Introducing Poynt… The World’s
06/11/2018 - Interchange Savings Tool Now A
01/03/2018 - Data Breach? We Got Your Back
12/27/2017 - How Does OMEGA Protect Your Cu
12/12/2017 - New Year? New Goals? New Capit
12/06/2017 - Process with the Best
09/06/2017 - Unlock Cash Flow Opportunities
08/30/2017 - Are You Hungry for the Details
08/09/2017 - Happy (2nd) New Year!
11/30/2016 - Are You Ready?
Data Security and Fraud Prevention
05/29/2019 - Is Friendly Fraud Putting Your
04/29/2019 - Gift Cards: The Gift That Thie
04/03/2019 - Chargebacks: What Are They and
02/13/2019 - 3 Tips To Protect Your Busines
11/12/2018 - Are you PCI Compliant?
03/14/2018 - Merchant Guide: 10 Essential T
02/12/2018 - Common Business Scams and How
02/09/2018 - Data Security Fast Facts
01/17/2018 - Vulnerability Scanning vs. Pen
01/17/2018 - BBB Warns of Email Scams This
01/10/2018 - Arm Your Business Against Cybe
11/15/2017 - MERCHANT FRAUD ALERT, 11-15-20
09/22/2017 - Have You Heard How OMEGA’s Dat
08/02/2017 - MERCHANT FRAUD ALERT, 08-02-20
OMEGA in the Community
07/05/2017 - Parades, Baseball and the Four
03/08/2017 - 9th Region Championship Player
02/06/2017 - OMEGA’s Players of the Game
01/23/2017 - TWO New OMEGA Player’s of the
01/13/2017 - OMEGA’s Defensive Player of th
01/09/2017 - 2017’s First OMEGA Player of t
11/21/2016 - OMEGA’s Offensive Player of th
11/14/2016 - OMEGA Processing Offensive Pla
11/10/2016 - OMEGA in the Community
11/07/2016 - OMEGA Processing’s Player of t
10/31/2016 - OMEGA Processing Player of the
10/25/2016 - OMEGA Processing Player of the
10/12/2016 - OMEGA Processing’s Player of t
10/04/2016 - OMEGA Processing Player of the
09/19/2016 - Sergent Wins Player of the Gam
09/06/2016 - OMEGA Processing Solutions Pla
OMEGA Merchants, News, and People
12/12/2018 - 2018 Year in Review
10/17/2018 - OMEGA Processing Solutions Cel
07/25/2018 - OMEGA Processing’s Kim Polark
05/31/2018 - OMEGA Processing’s Daena Spraf
04/20/2018 - Making Every Day Earth Day
04/11/2018 - How’s an Extra $100 Sound?
12/28/2017 - 2017 Year in Review
10/11/2017 - NO Contract. NO ETF. NO Long-T
07/05/2017 - OMEGA Processing Solutions Add
12/30/2016 - Some of our Favorite Moments
09/01/2016 - OMEGA Processing’s Caroline Ok
Mobile Payments
11/08/2017 - Mobile Made Easy with OMEGA
08/03/2017 - A Good Thing Just Got Better —
10/18/2016 - SwipeSimple: Mobile Made Bette
B2B and E-Commerce Solutions
08/26/2019 - Maximize Your B2B Interchange
10/13/2017 - Saving on B2B Interchange
05/03/2017 - EMV Option Now Available for V
02/09/2017 - Why Should Your B2B Business A
Short-Term Capital Funding
Gift Cards and Customer Rewards
04/01/2019 - Spring Has Sprung and So Can Y
09/06/2018 - The Holidays Are Coming..Are Y
08/22/2018 - Sales are up 100%!
09/13/2017 - When Should You Start Planning
08/18/2017 - Black Friday is Coming!
07/19/2017 - Gift and Loyalty: We Have an A
02/23/2017 - Boost Spring Sales with OMEGA’
Point-of-Sale Systems
FI Partner Program
OMEGA Spotlight
03/19/2020 - OMEGA Spotlight-Gritt's Midway
03/02/2020 - OMEGA Spotlight-Good Car Compa
02/04/2020 - OMEGA Spotlight-Julianne Merte
01/13/2020 - OMEGA Spotlight-Events LLC
12/04/2019 - OMEGA Spotlight-Dean Sturtz
11/20/2019 - OMEGA Spotlight-Canterbury Far
10/24/2019 - OMEGA Spotlight-Sarah Jeffries
10/10/2019 - OMEGA Spotlight-Outlier Cycles
09/25/2019 - OMEGA Spotlight-Bruce Morris
09/10/2019 - OMEGA Spotlight-Pangallo's on
08/27/2019 - OMEGA Spotlight-Hair Plus Beau
08/14/2019 - OMEGA Spotlight-Customer Servi
07/23/2019 - OMEGA Spotlight-Eddie's Southe
07/10/2019 - OMEGA Spotlight-Barbara Bailey
06/25/2019 - OMEGA Spotlight-Big Catz BBQ
06/11/2019 - OMEGA Spotlight-Kim Figgins
05/23/2019 - OMEGA Spotlight-Kava House & C
05/14/2019 - OMEGA Spotlight-Stevie Dumbuya
|
|