How To Prevent Chargebacks
Do you run your own business? In today’s Internet crazed society, it is nearly impossible to make a living, without being able to accept payments over the Internet. This is why a lot of business owners open up merchant accounts and begin accepting credit card payments. Although this gives them the ability to generate more revenue, it does not come without risks. When a customer makes a payment with their credit card, they’re entitled to a certain amount of protection. This can help the customer, while potentially hurting the business.
As a business owner, you should learn how to prevent chargebacks. Tips and techniques to protect your business will be provided below.
Understanding Potential Problems
First and foremost, you should take the time to learn about the potential problems, which may occur. There are several different situations, which may result in a chargeback. These will be listed below.
- The buyer claims they haven’t received their order
- The buyer insists the item is not as described
- The order was placed, without the card or account holder’s permission
- The item was damaged, during shipping
Now that you’ve learned which problems can occur, you will want to do your best to prevent them from happening.
Once a customer places their order, they’re going to be eager to get their item. With this in mind, you should try and ship out the item, as quickly as possible. It is also a good idea to give the customer a reasonable shipment schedule. Do you need several days, in order to collect, package and ship the item? Be sure to make the customer aware of this, before they place their order.
Confirm The Buyer
Also, you should do your best to confirm the buyer’s identity. Perform a reserve search on the buyer’s address and make sure that the residence belongs to the buyer. You can do the same for the phone number. If the residence belongs to someone entirely different, you might want to deny the buyer’s order.
Improve Your Customer Service
Customer service is integral for keeping your customers satisfied. Before they file a complaint, they’ll most likely contact your company directly. Be ready to respond to each and every customer quickly! By working with them now, you might be able to prevent a chargeback in the future.
Although it is possible to learn how to avoid chargebacks on your own, implementing these techniques and fighting fraudulent claims is anything, but easy. With this in mind, you may wish to enlist the help of a third party, who can help you fight and win against fraudulent claims.