There are several ways for fraud to be committed, here’s a few tips to protect yourself. With EMV in full force as of January 2021, there are additional requirements of the Authorization to Sales that now have an added fee by the Mastercard, Visa, Discover and American Express Card Associations.
As an additional security mechanism, the cardholder may be asked to provide another authentication factor by entering a personal identification number (PIN) or by providing a signature.
Dipping is when the card is inserted into the reader chip-side first. Please ensure you and your employees are trained accordingly. If the chip does not read and/or you receive an error message, please ask for a different credit card for payment. The card should never be swiped which will also assist in preventing fraudulent transactions. Any fees incurred by the Card Association will be passed along to the merchant. If you do not have working chip reader terminal, please contact us immediately.
Here’s are 5 tips to avoid chargebacks or request time to discuss terminal options –
Fighting for Chargeback Reversals
You should challenge as many chargebacks as possible. You can increase your odds of winning by using these tips from industry experts to get started.
Tip #1: Fine-Tune Documentation
To win a chargeback reversal, you must provide adequate “compelling evidence,” or documentation that contradicts the cardholder’s claim and supports your case.
Tip #2: Write a Rebuttal Letter
You’ll also need to write a detailed rebuttal letter for each dispute. Stick to provable facts and clearly explain context and meaning to demonstrate why the original transaction should stand.
Tip #3: Act Quickly
All parties in a dispute must abide by pre-determined time limits—in some cases, 5 to 10 days after receiving notice of the chargeback. Worse, the timeframes vary based on the card network, the processor, and other factors. The sooner the chargeback reversal process is initiated, though, the more likely it is to succeed…so make a point of responding in a timely manner.Tip #4: Understand the Reason
Every chargeback dispute comes with a reason code that shows the reason the cardholder gave for filing the chargeback. Each network has its own codes, but the reasons from card brand to card brand are similar. Knowing the different reason codes can help win chargeback reversals, but does little to help prevent future disputes, since reason codes seldom show the real reason for the chargeback (typically friendly fraud).
Tip #5: Avoid Unwinnable Situations
While fighting for a chargeback reversal is never easy, some chargebacks are significantly harder to fight than others: winning a dispute that originated in the US or the EU, for example, is easier than reversing a chargeback from Russia or Indonesia.
Take advantage of our Complimentary, No Obligation review to determine the most suitable plan for your business.