How to avoid chargeback and frauds

Page 1

NOV 2017

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CHARGEBACKS TIPS & TRICK TO AVOID THEM

CREDIT,DEBIT,ECHECK PROCESSING | CHARGEBACK ALERT | BUSINESS FUNDING | MERCHANT SERVICES RESELLER PROGRAM

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CHARGEBACKS

INHOUSE PUBLICATION OF QUADRA SERVICES.Â


LETS MAKE CHARGEBACKS HISTORY TOGETHER - CNP How to Avoid Chargebacks H onO(CNP) W SonACard M ANot NTHA Present Transaction ANDREWS STAYS

YOUNG AT 40

Only Accept Transactions once you have written confirmation from the buyer. Ask for authorization email or DocuSign agreement. Request a read receipt with every order confirmation email. List the Refund policy on header menu of your website. Email a PDF copy of refund policy to the customer with the order confirmation email. Include the hyperlink of the Refund policy page in signatures of all customer care email. Use the registered email to communicate with the customer. The email you mentioned on the Merchant account application is the registered email. Any communication done over a non-registered email may be declined at the time of chargebacks or disputes.

POWER TIPS TO AVOID CHARGEBACKS & INCRESE REVENUE Ask your PSP to implement 3DS if you only accept transactions from websites or payment link. Implement AVS - Address Verification System if you accept transactions of the web, email and Virtual Terminal Implement the CVV2 Filtering on the gateway. Don't process transactions without CVV Match Response. If you sell services share login info or service details immediately over the email to the customer.

In case of recurring billing educate the customer about how much he will be charged for and how many times in a year. Mention the descriptor that will appear on the billing statement. Make sure the Refund Policy is extremely easy to understand. For Subscription billing always give heads up to the customer prior to the transaction date. This will help the customer to maintain an adequate balance in the card. You can ask your PSP to implement an authorization filter. Delay the capture until the time of shipping.


CARD PRESENT AVOID CHARGEBACKS Get a Photo Copy of the card make sure you hide the CVV and the Middle 8 Numbers - Get this signed by the buyer. Match the sign with the one that appears at the back of the card. If the card has no signature ask the customer to sign and then recheck if both the signatures are same.Do not forget to verify the signature on any of the national ID of the buyer. Get the card holder's signature on the merchant copy even if it says PIN Verified signature not required If the customer is not calm and is trying to buy random expensive products in high numbers then ask for a copy of national ID.

State the Refund and Return policy on the sales receipt - Keep it short but mention all vital points. A signed copy of the receipt will confirm that the customer has read the refund and return policy at the time of purchase. Don't rerun the card on the POS machine if the order has been declined. This can create duplicate transactions and can also create fraud alerts at the card Issuers or merchant acquirers infrastructure. Keep the merchant copy receipt securely for at least 1 year from the date of sale. Take extra caution when a customer uses multiple cards to process orders.

For MC Only - Match the BIN value present right below the first 4 digits of any MC Match the Last 4 digits of the card with what appears on the sales receipts If you get Pick - Up Response on the POS then try to keep the card and call the Merchant account acquirer or the PSP to get info about next step, This may be a stolen card. Be careful and protect yourself first. Avoid entering transactions manually in offline mode. Upgrade to the latest POS machines that use the EMV Chip Card technology

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MORE TIPS

Ship the Product as soon as possible. Delay in service delivery is a major reason for change of mind

For card present merchants:- Email the signed sales receipt copy or order authorization email to your account manager(at the merchant acquirer) daily. Respond to every cancellation request immediately. Â You may try to retain the customer but don't push very hard Provide shipping info with tracking Link to the customer. In case of delay in service or product delivery please keep the customer updated. If you sell tangible products make sure you send the product as per the variation requested by the buyer eg, color, size, model, brand etc Settel the payments with the PSP immediately after shipping the product - don't settle before the service has been initiated or the product has moved from your warehouse If there have been duplicate transactions because of technical issues then immediately initiate refund and inform the PSP and the merchant in writing. Mention the business name, contact info and descriptor on email communications, paper receipts, policy page, electronic sales agreements, and the website's contact us page. Ship only to the billing address. Make sure your shipping partner collects the signed proof of delivery. Don't sell products or services with defects. Avoid selling products that are new and are inferior in quality. Treat your customer like a King. Never get into an argument after before or after sales.

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