Aug 15, 2008

The Official Global Chargeback Guide

Often time when we talk about online fraud, most of the attention surrounding the discussion is usually focused on the consumers - either having their credit card numbers stolen by hackers or being suckered into giving their personal and financial information by a phony email phishing scam. But barely any attention has been given to the other side of the coin - the e-commerce merchants who are defrauded by crooks posing as legitimate consumers.

Dishonest consumers normally abuse the chargeback system by making a purchase over Internet with credit card and then issuing a chargeback on receiving the product or service leading to difficulty in recovering payment for merchants. Chargeback is the term given when there is a reversal of a credit card transaction.

Majority of the chargeback cases do happen due to technical problems between the merchant and the issuing bank. For example a consumer was charged twice for same transaction or other such mistakes like authorization process of a Credit Card where transaction is declined by the issuing Bank and the account is still charged. So how do you respond to such “friendly fraud transactions”?

Chargeback levels vary by industry type but have been on a steady accent in the e-commerce industry throughout the years. E-Commerce merchants typically operate in a "card-not-present" environment which is deemed as "high-risk" by default.

It is important to note that in case of chargeback, it is the consumer's bank and NOT your merchant service provider or your bank that decides the outcome of a chargeback.

Being an e-commerce merchant, you should have a set of online transaction security measures put in place, but as good as your chargeback prevention mechanisms may be and despite all the best practices that you may have incorporated into your sales process, every now and again you will still be seeing a chargeback or two sneaking its way through and around your protection. Chargebacks cost money along with the fess and the settlements associated with the credit card transaction and affect the company’s bottom line.

Chargeback Guide - The Official Global Chargeback Guide, is an e-book designed to teach e-commerce merchants the ins and outs of dealing with chargebacks. For only $19.95, (less than the cost of a single chargeback) merchants are able to download this chargeback tutorial which will guide you in the fight against all types of credit card fraud and help you win any future chargebacks.

Chargeback e-book is an effective fraud prevention tools that every online merchant should use to prevent fraud and eliminate chargebacks.