Help, Chargeback dispute has been denied!

[axell]

Hello, I will briefly explain the case. We hade a few orders from a customer from UK. He used to pay with his credit card and used the same shipping and billing address. We have sent all the merchandise to him but a few weeks later he made a chargeback. Our processor is 2checkout.com. They have asked us to provide proof of delivery with signature of the cardholder. We did so and two weeks later we received a letter stating:

 

 

The following notes have been added to your account.

Please review this information and take corrective action, if needed by: as soon as possible.

 

Details: Sale Number: ###########

Hello,

 

I have received notice that the chargeback dispute has been denied. Please resolve directly with the customer.

 

 

Thank you,

 

2Checkout.com

 

You may call 2Checkout.com customer service at 1-877-294-0273,

Monday through Friday, 8:30am-5:00pm U.S. Eastern Time.

 

 

Would you please advice us what we shall do as we have no clue for further steps. We have tried to contact the customer unsuccessfully.

[Guest]

sounds like paypal. if they're anything like paypal, you're SOL.

[♥toyicebear]

2checkout.com is not really a payment processor, just a "Re-seller" of your gods...as such they will always bend to the banks/card companies because they are already opperation on the fringes of the system..and the card companies could shut them down in no-time.

 

The best course of action to take is to try to resolve the issue with the customer directly.

 

To stand stronger in a chargback dispute, you would do much better having your own merchant account.

[Guest]

if a "reseller" offers "protection" (like paypal does), i have to believe they can have some sort of a stand to help sellers with chargebacks.

 

for example: paypal says all they need for proof of shipment is tracking, a confirmed buyer address and proof you sent the items within 7 days of the customer purchased and you are covered by the seller protection policy.

 

 

i have gone through this procedure many times, provided all of the needed proof, yet there was no resolution.

 

 

 

i don't know anything about 2checkout, but i would have to assume they work similar to how paypal does.

[MarcoZorro]

If you cant contact the customer and 2CO say they cant help then the only thing you can do is start legal proceedings.

[Chance]

98.6% of the time its "tough luck" for the merchant when there is a chargeback. Up that to 99.9% of the time with international shippments.

 

Sorry I don't have anything encouraging to say, but welcome to online commerce.

[GraphicsGuy]

if a "reseller" offers "protection" (like paypal does), i have to believe they can have some sort of a stand to help sellers with chargebacks.

 

The entire credit card industry focuses on the consumers because that is where their real money comes from. And they know they have merchants, especially online merchants, over a barrel - we have to be able to accept credit cards or our business is shot.

[Guest]

i can't argue that, but if the (fraudulent) chargebacks continue to get out of hand and some sellers start offering free stuff or discounts to alternate payment methods; the credit card companies could be running into a problem.

 

in my opinion (though a bit out there) it would be ideal to see the person's chargeback history. how frequently they make claims against companies' and their reasons for doing so... before commiting to a transaction with them.

 

isn't fraud one of the main reasons people stopped accepting personal checks?

[louisjr99]

There are several things you can do to protect yourself against fraudulent orders from overseas.

 

1. Always request a copy, front and back of the credit card, they can scan and email it to you or they can copy and fax it to you.

2. Always get a copy of thier latest billing statement showing the shipping and billing address.

3. Always get signature confirmation faxed to you from Fedex or whomever at time of delivery. (Fedex only keeps the signature for 90 days, they can chargeback up to 180.)

4. Have a reputable merchant account.

5. Never send as a gift to avoid taxes and always insure, this makes the customer have to sign and pay for taxes which cuts down on fraud.

6. If all else fails, have them wire the money to your account or use paypal.

 

This works on a couple of levels, first of all, anyone who does not have the card or billing statement is probably going to defraud you. Second, it also gives you a chance to notify the customer that they are responsible for duties and taxes, those charges can get high and if you don't inform them up front, they may refuse your stuff and you will be stuck for shipping both ways.

 

Some customers will be resistant to this, especially if they are trying to defraud you, but, the legitimate ones will always comply.

[GraphicsGuy]

1. Always request a copy, front and back of the credit card, they can scan and email it to you or they can copy and fax it to you.

2. Always get a copy of thier latest billing statement showing the shipping and billing address.

 

Some customers will be resistant to this, especially if they are trying to defraud you, but, the legitimate ones will always comply.

 

I agree whole heartedly with most of your points, but #1 violates card company rules in two ways if they email it (faxing would be ok in this regard). First the non-secure transmission (email) and storage (email server) of complete card information is not allowed. Second, if it is a card with a CVV code on the back, then it is not allowed to store that number.

 

#2 is something that a lot of legitimate customers would have a problem with. I can personally say that I would never provide a copy of my billing statement to someone else. There is just too much information about other purchases on there.

[nana]

i have been in retail in a long time and cc fraud is also a part of non virtual world

generally when you get a sale that does not fit the pattern of your other sales you should start to worry

offer the suspicous sales to ship to billing address only

this would cut some out

email the customer that you are suspicious of their purchase that you do not have their product in stock and you can give them a far inferior product or you can refund their money.

the fradulant ones always pick the alternative

like if they bought something that is worth 100 something that is worth 20

don't be greedy.

greed is how a con starts