What Almost No One Knows About Businesses

Protect Your Business And Do Something About Unfair Chargebacks

The law that protects customers whenever they purchase items using their credit cards is known as consumer law. Just in case someone steals their credit card information and the merchant refuses to give them a refund, they would simply contact their credit card company to have their money refunded. Yes, this is a huge advantage for customers, however, the same thing cannot be said for merchants.

Despite the fact that chargebacks are legal and every customer has the right to request for one when necessary, too much chargebacks against a merchant can damage his business big time. This is because the fees and fines from banks will accumulate and the merchant has no choice but to pay for each one. This is the least of their problems because the bank can even terminate the merchant’s account which will leave his business disabled. This is without a doubt, an alarming problem for merchants because the bank won’t allow them to open another account for the next five years.

According to the chargeback company, every merchant can avoid this if they know how to limit the number of chargebacks they receive. Although there will always be customers that would take advantage of chargebacks just to gain free items, this doesn’t mean that merchants should just take this abuse.

In this article, we will be discussing some tips that will help you protect your business against unfair chargebacks.

1. Your business must have an excellent customer service.

According to the chargeback company, if the merchant offers superlative customer service, he can easily reduce the number of chargebacks against him. Keep in mind that the foundation of your business is excellent customer service. You have to invest on low-cost communication options for your customers such as a landline number or a web chat. Training your customer service team so that they can easily handle difficult customers is also a good idea.

2. Be clear when it comes to the items your customers are buying.

According to the chargeback company, if you want to reduce the number of chargebacks you receive, see to it that you provide your customers with a good product description. If you make sure that all of your products have a detailed description, you will definitely avoid any misunderstandings.

3. Be on the look out for fraud.

According to the chargeback company, most chargebacks are caused by fraudulent activities. It is a good idea to train and teach your employees so that they cane easily detect any fraudulent transactions.

4. You should implement a secure payment system.

Since online fraudsters are always one step ahead of the merchants, you need to be keep up with them. According to the chargeback company, we can do this by simply implementing a secure payment system. See to it that your network systems are secured so that your customers are also protected.