Top Tips on Protecting Your Business from Chargebacks
Unlike the refunds procedure, chargeback does not require contact between seller and buyer. Instead, the customer contacts the bank, files a complaint complaint and starts the dispute. Bank decides whether to approve chargeback or not. Unfortunately, chargeback fraud happens often, even with the best merchants with solid reputations. Some customers misuse the chargeback process to receive money after getting the product or services they paid for.
Legal Actions or Crime?
Customers who misuse chargebacks for their gain learn this system well enough to know that their actions are partly legal. Regulations of the dispute are far from perfect and stay unchanged for decades. While this type of fraud is still called friendly, every merchant who suffered from such a scheme disagrees with the name. Unfortunately, not all actions can be argued. If the customer did not put the signature on the delivery document, they may claim that there was no package delivered.
Dishonest cardholders can get motivated by next reasons:
Best Ways to Protect Your Business against Chargebacks
No matter which digital tools or strategies you use, there is no 100 percent guarantee of protection from chargebacks. Every day the global market is attacked by fraudsters and criminals. Whether you have a small business or a big one, you can only minimize the chances for unnecessary spending and cut the damage that may occur.
Follow the next steps:
Although there is no 100 percent guarantee that your actions will keep your business safe from chargebacks, you can still avoid them. Pay attention to every factor on the list, and make sure you follow these basic rules. A happy customer will stay with you for a long time.
Published pn PRFIRE