Voltar para E-commerce para Pequenas Empresas

What is Chargeback Protection?

7 minutos para ler

Chargeback protection is a service that prevents online sellers from losing money when customers claim that they didn’t receive an order or that it was fraudulent.

It is a kind of warranty against unjustified payments.

Principais conclusões:
  • The acquisition of chargeback protection compensates the merchant for liability resulting from a fraudulent payment dispute
  • Security and customer care standards relate to a merchant's potential protection against fraud and other chargeback origins
  • While this protection spec only covers fraud and leaves the rest of the dispute types up to prevention, thus preventing it is crucial
Logotipo pequeno do Hocoos Respostas E-commerce para Pequenas Empresas

What is Chargeback Protection?

What is the difference between a Chargeback and a refund?

The chargeback process is a mechanism where the buyer’s bank requests funds from the seller, frequently triggered by the buyer’s notification of a disputed transaction or issues with the delivered goods or services. Conversely, a refund is made when the seller voluntarily offers the money back to the buyer to resolve a problem. Chargebacks are done by the bank, while refunds are initiated by the seller.

Um mergulho profundo:
A direct refund can be considered as a potential resolution for customer issues. It may lessen the chances of a chargeback being filed and any resulting fees.

What are some common reasons for Chargebacks?

Customer chargeback dispute initiation correlates with specific circumstances:

  • The transaction utilized a card and presented an inquiry regarding cardholder authorization.

  • The buyer’s information suggests the order is outstanding, possibly due to transit delays.

  • The customer’s response implies a distinction between the item and the forecasted outcome.

  • The customer expressed a possible need for improved service and supplied feedback for review in subsequent engagement.

  • In cases where a customer indicates a charge is unfamiliar, requesting a chargeback is standard procedure.

  • Following confirmation of successful processing, the buyer raised a question regarding the order to get it for free.
Dica profissional:
Keep detailed records of all transactions, shipping confirmations, and customer communications. This evidence can be crucial if you need to dispute a chargeback.

What can merchants do to prevent Chargebacks?

Here are some of the protective measures that sellers can take to cover their backs from chargebacks:

  • Use secure payment systems with fraud detection.

  • Clearly communicate with buyers about their orders.

  • Return policies should be presented in a clear and easily understandable format.

  • Ensure the name on the billing statement is clear to the buyer.
Dica profissional:
Implement address verification (AVS) and card verification value (CVV) checks during checkout to help identify potentially fraudulent transactions.

How does Chargeback Protection work?

Chargeback protection is like insurance for online sales. When a chargeback occurs due to fraud (as the service qualifies it), the provider offering the protection will compensate the seller for the amount that was lost. You might pay a fee for this service, which can be either monthly or per transaction. It minimizes the full financial effects of these disputes on businesses.

What are the benefits of having Chargeback Protection?

This protection is associated with a range of possible consequences:

  • It may correlate with a reduction in financial losses from chargebacks.

  • This can potentially shift business focus from dispute handling to sales activities.

  • It relates to cash flow forecasting by addressing possible financial losses.

  • The process may relate to the amount of time allocated to resolving chargeback disputes.
Dica profissional:
Even with chargeback protection, it’s still essential to have good fraud prevention measures in place to minimize the overall number of disputes.

Conclusão

Chargeback protection provides a mechanism to address financial loss caused by fraud during payment disputes. This protection, when combined with security measures and customer service, can affect the chargeback rate for online merchants and potentially their ability to concentrate on business growth.

Índice

Outros artigos que podem ajudar

PRONTO PARA COMEÇAR SUA JORNADA DE PEQUENOS NEGÓCIOS?

Consideração importante: As informações fornecidas por nossa equipe de especialistas são elaboradas para fornecer uma compreensão geral do processo de criação de sites e dos recursos disponíveis para você. É importante observar que esta informação não substitui o aconselhamento profissional adaptado às suas necessidades e objetivos específicos.
Leia nosso padrões editoriais para o conteúdo de Respostas.
Nosso objetivo é capacitá-lo a criar um site incrível. Se você tiver dúvidas ou precisar de orientação durante o processo de construção, não hesite em Entrar em contato. Teremos prazer em fornecer assistência e orientá-lo na direção certa.