Dealing with Chargeback is tough and looks frustrating task for most haunts for card payment due to complexities and consumer centric nature of the policies from the card issuance entities.
Just protective practices and few proactive efforts to deal with chargeback claims where it is fair or unfair. Just take a time to analyze chargeback request to collect supporting information or evident, documents to fright any unfair chargeback helping to save your revenue genuinely. So, collect and provide evidence to prove the sale was legitimate.
Common reasons for friendly chargeback request by consumers:
- Acknowledging as it unauthorized transaction.
- Stolen credit card information used to purchase
- Unrecognized transaction as most common for ticketing
- Merchandise wasn’t delivered when it was
- Merchandise was defective upon its arrival when it was fine.
- Disparaging the quality of the products or services.
- Ultimately an illegitimate or unwarranted chargeback is basically the equivalent of cyber-shoplifting.
Know Chargeback Hypothesis:
- 81% of recent survey participants admitted to filing an illegitimate chargeback because they “didn’t have time to contact the merchant.”
- Only 14% of consumers adhere to credit card regulations and contact the merchant for a refund before initiating a chargeback.
- A consumer who has filed a chargeback is nine times more likely to do it again.
- 40% of cardholders who successfully file an illegitimate chargeback will attempt another in the next 90 days.
- There are two faulty business practices that make it seem like the bank is the easiest, no-hassle solution for a refund.
- The merchant’s restrictive return policy & par customer service
- Haunts to improve customer service to address the return or refund policy.
Next > Click to read "Practices to avoid Chargeback"