Secure Your Merchant Account With Chargeback Management and Prevention Services
May 20, 2023
The best way to maintain your company’s financial success, combined with a reliable payment gateway for your payment processing needs, is to take action to prevent chargebacks.
Prevention starts by knowing the resources available to help to keep your chargebacks ratio low, and more so, to take actions to prevent them. Along with fraud prevention tools and systems, ensure that chargeback prevention services are included with your high risk merchant account.
What do Chargeback Prevention Services and Chargeback Management Services Include?
Chargeback prevention services protect retailers against unauthorized credit card transactions. These services cover the loss of merchandise or service provided and the loss of profit as a result of theft. They are also typically combined when using a high risk merchant account. Otherwise, you can be directed by your high risk merchant account provider to a reputable company that does offer chargeback management services.
What Chargeback Management Services Do Not Cover
It’s very important to understand that no policy will protect you from chargebacks entirely. Chargeback management solutions will not apply if there is a chargeback filed because of a client failing to get a product or service that they paid for. Don’t expect these services to pay your actual mistakes, as the tool is in place for when clients fail to pay or make fraudulent claims. It is uncommon for any chargeback prevention policy to apply to the purchase of product, program, videos, or e-books.
Does Your eCommerce Shop Need Chargeback Prevention Services?
Fraud that is friendly and true fraud are the two primary sources of chargebacks and why businesses need chargeback management services. As it is well known in the eCommerce world that chargeback prevention services are a logical choice, especially if the majority of your chargebacks are because of valid fraud – such as purchases made using a credit card without consent.
In these instances, it is very probable that chargeback prevention services will apply.
You might want to reconsider chargeback prevention services if the majority of the chargebacks come as fraud in the form of clients claiming they did not get the items they purchased simply so they can keep the merchandise without having to pay for it. Chargeback prevention services do not cover these specific kinds of chargebacks.
Keep in mind that chargeback prevention services can’t necessarily change your current chargeback ratio, but rather is there to help keep your chargeback ratio from growing to the point that your high risk merchant account is shut down. Your business will possess these chargebacks if you don’t have them reversed, though chargeback prevention services can recover any gain reductions.
Final Thoughts on Chargeback Prevention Services
Consider going this route if you’re contemplating chargeback management services. A system, like the one provided with chargeback prevention services can give you a chance to catch unwarranted chargebacks by alerting you to the problem. When you get a high risk merchant account with PayKings, we offer incredible partner solutions for the best possible chargeback prevention services to keep your chargeback ratio low and your financial gains high.
May 20, 2023 | High Risk Merchant Account | Dustin