If you’re an online retailer and accept a lot of credit card payments, you understand the importance of being able to accept these payments. On the other hand, accepting these payments also comes with a few risks. Buyers can always file a claim with their credit card company, if they’re unsatisfied with the product or your company’s performance. As a merchant, you have the opportunity to fight against these claims and you should do your best to backup your claims. Within this guide, you will learn everything you need to know to fight back against a chargeback fee.
Before The Transaction
Although it is possible to fight back against these claims, you should do your best to prevent them from occurring in the first place. In order to do this, you should go above and beyond to ensure that your company’s customer service is running efficiently. Most customers will actually contact the company directly, before reaching out to their credit card provider. This will give you the opportunity to rectify the problem and prevent the buyer from filing a claim.
Also, you should make sure to keep track of your company’s transactions. Anytime your company accepts an order, takes a payment, ships out an item, or gives a refund you should document the action. The information will prove to be exceptionally helpful, when attempting to fight against fraudulent claims.
During some situations, a customer will file a claim and suggest that their item was damaged, during the shipping process. In order to prevent this from happening, you should do your best to package the item carefully and with special precaution. You should also have a clear return policy and it should be readily available to all of your customers. Keeping track of the shipment’s overall value is highly recommended. Fighting against damaged item claims can be much more complicated and the credit card entity will generally rule in the buyer’s favor.
Preparing For Legitimate Claims
Although some claims will be fraudulent, many consumers do file legitimate claims and you will be required to pay them back. With this in mind, you should make sure that you’re prepared to do so. Your business account should have enough funds to cover the costs. If it does not, you may find yourself dealing with a chargeback fee, as well as an overdraft fee.
As an online retailer, being forced to deal with these complications at some point or another is likely. By utilizing the information above, you will be able to prepare and fight back against fraud.