Merchant’s Guide to Understand and Prevent Chargeback

Understand and Prevent Chargeback – While running a business, chargeback is another challenge for the business owner to run a successful business. If you are a merchant then you should keep yourself updated with all the chargeback reason codes. Otherwise, lack of knowledge can cause loss to your business. Hence it is important to understand and prevent chargeback for a business owner.

Let’s try to understand the chargeback from the merchant’s view. A customer files a chargeback when he/she doesn’t receive the promised item or does not receive the item at all. Also, when the merchant refuses to give the refund or replace the product, only then the customer should go for a chargeback. Instead, some buyers do not have the appropriate knowledge or simply wants the item for free. In both the cases, the merchant is the one who bears the loss. Moreover, there is a threshold to a number of chargebacks that are allowed in a business. On exceeding that limit the merchant may have to pay the fine.

Sometimes, the merchant doesn’t even know what caused the chargeback. In such a case, the merchant needs an expert to handle the situation. Furthermore, needs an alert system that warns them about the chargeback and chargeback limit. If you are a merchant then you can access such services at Chargeback Expertz. Here you will get guided steps to understand and prevent Chargeback. Simply call on our toll-free number or chat via Skype for instant advice.

What are the Situations Leading to Chargeback?

To understand and prevent chargeback, the merchant should know about the various situations that could lead to a chargeback.

Merchant Mistake

• The delivered item is damaged
• The product is different from the one displayed at the time of purchase
• Or the product is not delivered at all

Friendly Fraud

• The customer does not know about any other method to get refund or replacement, filed a chargeback
• Mark certain transaction as chargeback when reviewing the card statement

Chargeback Fraud

• The customer wanted the item for free
• A malicious act by the customer to get the item without paying a penny

Card Fraud

• The card is used without authorization of the card holder
• A case of theft where either the card or the card details are stolen

Tips to Prevent Chargeback

You can create your own set of rules to prevent chargeback in your enterprise. Here are tips that you can try to understand and prevent Chargeback.

• Try to find the reason for a certain chargeback. The more you understand the more efficiently you will be able to intercept them.
• Make sure your brand name or business name is properly understood by the customer on their bank or card statement.
• Use the latest technology for the payment especially when it comes to card payment.
• Check whether the payment gateway or the payment processor you are using also provides the fraud detection and monitoring methods to protect transaction.
• Also, mention your return and refund policies clearly before the transaction, payment receipt, and your business website.
• Most importantly understand your customer’s issues and respond to them on urgent basis.
• And if you are planning to fight a chargeback then hire a professional to guide you through the process.

If you are looking for an expert to help you with the Chargeback Representment then contact Chargeback Expertz at the toll-free number. Talk to a chargeback specialist or chat with them via Skype to understand and prevent chargebacks.

Know When to Fight Chargeback

When dealing with the chargeback, you should know which chargeback to fight and which to let go. And when fighting a chargeback you should create a very evident and compelling case.

• Firstly, try to resolve the dispute by talking to the customer. Try to be polite and explain the company policies.
• You can also tell the customer that you have all the transaction related document to win the case.
• If the buyer still wants to file the chargeback then you can fight that chargeback.

Things to consider when fighting a chargeback

• Take out all the transaction reports. That is signed receipts, evidence that customer accepted the product and delivery related documents.
• Respond to the chargeback without wasting any time. This means responding to the chargeback quickly can save you from getting fines from the bank.
• Educate yourself about the chargeback reason codes and gather evidence to support your case.

If you are looking for an expert help to understand and prevent chargeback then contact our Chargeback Expertz team. Moreover, get an instant alert of the disputes and stop chargeback before exceeding the threshold.