[Asterisk-biz] CC Fraud

[snacktime]

On 6/18/05, Jeremy McNamara <jj at nufone.net> wrote:
> snacktime wrote:
> 
> >Is there a scam they run on you, or
> >are you referring to chargebacks, etc..?
> >
> >
> 
> I presume he is talking about chargebacks, to which the Merchant has
> absolutely no recourse for fraudulently used credit cards.
> 
> We have totally stopped accepting credit cards directly because of the
> massive amount of chargebacks we endured.  Then to add insult to injury
> our processing 'partner' decided to withhold a SERIOUS amount of money
> for up to one year because they say they can, due to the high chargeback
> percentage on our account.

That happens a lot.  Unfortunately most merchant banks don't make it
clear how quick they will do this if you get a high chargeback rate.

Did you get a high percentage of chargebacks from orders originating
from the US, or was this primarily from outside the US?  If you are in
a high risk industry and accept orders from most countries, it's
usually a recipe for disaster.

Chris