Are you looking for chargeback insurance providers? Do you want to know how you can avoid mistakes when fighting chargebacks so as not to end up with massive losses in revenue? Just read below and you’ll know.
Chargebacks and Chargeback Insurance Providers
What is a chargeback? This is a means to enjoy customer protection. So, when there’ s a fraudulent transaction, the bank refunds disputed transaction value to the cardholder. Chargebacks can create complex, expensive and aggressive problems for merchants. They come in all shapes and sizes. All types of merchants can be faced with chargebacks.
Specifically, chargebacksoccur when cardholders dispute a charge that they didn’t authorize and may or may not be caused by fraud.Did you know that 40% of all chargebacks can be the result of merchant mistake?
Merchants usually start looking for chargeback insurance providers when faced with chargebacks. If you’re one of these merchants, turn to a reputable payment processor to get the best protection from chargebacks. With a respectable merchant services provider, you can fight chargebacks and get protection from fraud without challenges.
Mistakes Merchants Make When Fighting Chargebacks
What are some common mistakes when fighting chargebacks? Here’re several common mistakes that you should avoid by all means:
- Poor Knowledge of the Reason Codes
If you don’t know the chargeback reason codes well, you can’t win the dispute.Each code has its own evidence that you should compile. Make sure to keep the list of required compelling evidence close at hand. Otherwise, you’ll lose the chance of representment success.
- Wasting Time and Resources
Don’t work cases that’re already handled by the acquirer. Know which disputes qualify for automatic representment.
- Not Being Well Prepared
Be well prepared. Make sure to have all the tracking procedures in place. Refunding the money is much easier than fighting the chargeback.
- Reach Right Off the Bat
Once there’re issues with an order, don’t hesitate to contact the given customer immediately. Keep customers informed about their subscription status. Make sure to have contact information visible both on your site and on a checkout page.
- Not CheckingEvidence Properly
Track your customers’ activity andmake an analysis of their behavior. Keep logs in the system to stay away from any unpleasant surprises. Keep everything fully documented when replying to chargebacks. Have everything clear and structured.
- Ignoring Alarming Signs
Be prepared for situations when there aren’t any fraud attempts, but customers avoid contacting the online seller and file chargebacks. Investigate every chargeback dispute.
- Lack of Insight into Your Win/Loss Rate
Make sure to have insight into your win/loss rate. Calculate the rate and take the corresponding steps.
- Not Working with Your Processor
Your credit card processor has all the necessary tools and resources to help you with fighting chargebacks. Combating chargebacks successfully benefits your processor as much as it does your business.
- Poor Customer Service
Provide good customer service that will enable you to resolve any issues so to reduce the likelihood of a chargeback being filed. Make sure the customer is satisfied with the resolution
As a merchant, you should consider the common mistakes to reach asatisfactory solution for chargebacks disputes. Work with a reliable and experienced processor to get the best chargeback protection for your business.
Author Bio: Electronic payments expert Blair Thomas co-founded eMerchantBroker, serving both traditional and high-risk merchants interested in chargeback insurance providers. His passions include producing music and traveling.