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How many chargebacks?
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How many chargebacks?

VPSSoldiersVPSSoldiers Member
edited August 2015 in Providers

If a customer has multiple services with you and files a chargeback with their CC company how many do you deal with before you terminate the customer and all associated accounts?

Thanked by 1qrwteyrutiyoup

Comments

  • ehabehab Member
    edited August 2015

    if it happens once it can happen again, agree that you do not wish to continue with client and give some time for backup-migration etc ... then do a prorated refund. and read my signature.

  • I'll respond with the no refund, goodbye :P seems like the best chance to get new customers and receive great reviews.

  • FlamesRunnerFlamesRunner Member
    edited August 2015

    I'd terminate, no time for backup.

    After all, now it'd be free service and if it happens more than once, FraudRecord + boot.

    Tip: Make sure your terms of service protect you against chargbacks.

    Thanked by 1KuJoe
  • ehabehab Member

    i am not a provider, just guessing and maybe you can get the best steps soon.

  • Terminate and refund

    Thanked by 1KuJoe
  • FlamesRunner said: After all, now it'd be free service

    I'm talking about the other services that haven't received a chargeback (yet). Though I'm sure at this point I'll be getting one any day now.

  • AnthonySmithAnthonySmith Member, Patron Provider

    If it is the same customer at the very least suspend all services, I have had 1 instance where it was a charge back initiated by the customer cc company without their knowledge but as that customer had been with me a long time I let it ride and he sorted it out.

    Every other charge back has been instant suspend, terminate within 24 hours.

  • VPSSoldiers said: how many do you deal with before you terminate the customer and all associated accounts?

    Zero. Even a threat will generally be met with the same. Why you ask? There's two reason for a chargeback:

    1. Stolen credit card or payment details. Despite our best efforts, every now and then one gets through. Not much we can do here.

    2. An actual customer is attempting to 'exact revenge' by charging back, or doesn't understand how the modern Internet works and doesn't ask for a refund but just disputes or charges back. Either of these has the potential to screw us, so I'd prefer to resolve the situation in our favor if the outcome is going to be both of us screwed.

    I'm always far more interested in a mutually amicable resolution, but not everyone has this mentality.

    Thanked by 1inthecloudblog
  • As soon as they open a chargeback terminate their services no questions asked no backup.

  • Damian said: doesn't understand how the modern Internet works and doesn't ask for a refund but just disputes or charges back. Either of these has the potential to screw us, so I'd prefer to resolve the situation in our favor if the outcome is going to be both of us screwed.

    I completely agree, I would much rather they come to me and ask for a refund, In this case though I'm thinking that it is probably stolen information after digging a little deeper in the account history.

    My gut told me when I saw the initial order that there were going to be problems but at the same time I thought I was overreacting, then with PayPal not providing seller protection for in-tangable items Its starting to bite me...

  • For virtual goods has no problem, just terminate and done, how about sellers who sell real items? How to terminate real goods from scammer hands?

  • tangible items will be total loss for the seller :) but potential risk is considerably low as there is a delivery address

  • @century1stop said:
    potential risk is considerably low as there is a delivery address

    Really? There are lots of pay per package services (especially near the Canadian border) and almost all of them don't require you to leave your info with them. All they need is a name and an email, which are pretty useless.

  • @TheOnlyDK said:
    Really? There are lots of pay per package services (especially near the Canadian border) and almost all of them don't require you to leave your info with them. All they need is a name and an email, which are pretty useless.

    how would they deliver w/o an address? name/email works for intangible items, definitely not tangible ones.

  • @TheOnlyDK said: There are lots of pay per package services (especially near the Canadian border)

  • @TheOnlyDK said:
    TheOnlyDK said: There are lots of pay per package services (especially near the Canadian border)

    are you referring to those that help with delivery? special offer items that are valid for delivery within CA?

  • PMed.

  • WebProjectWebProject Host Rep, Veteran

    ehab said: and give some time for backup-migration etc

    why? if customer had a free ride, terminate the service without any migration.

    fitvpn said: how about sellers who sell real items? How to terminate real goods from scammer hands?

    send all items with request of signature upon delivery.

  • fitvpn said: For virtual goods has no problem, just terminate and done, how about sellers who sell real items? How to terminate real goods from scammer hands?

    century1stop said: tangible items will be total loss for the seller :) but potential risk is considerably low as there is a delivery address

    Plus you are more likely to be protected from PayPal.

  • FlamesRunnerFlamesRunner Member
    edited August 2015

    Simple solution:

    Put a Bootstrap modal window over the sign up page containing NO CHARGEBACKS, refunds by ticket only and force them to wait 10 seconds.

    @Francisco did this already with BuyShared, not sure how well it's working for him.

  • FlamesRunner said: Put a Bootstrap modal window over the sign up page containing NO CHARGEBACKS, refunds by ticket only and force them to wait 10 seconds.

    I don't see PayPal or in the case of a chargeback their credit card company accepting this any more than they would checking a check box agreeing to TOS during order.

  • FlamesRunnerFlamesRunner Member
    edited August 2015

    No, but this stops legitimate customers who want to cancel from charging back :)

    That being said, it will make weeding out malicious customers easier for you.

  • MaouniqueMaounique Host Rep, Veteran

    All services suspended in case of a dispute even, no matter what the result is. They remain suspended until the customer apologizes and covers the costs, including our time to deal with the situation.

  • FranciscoFrancisco Top Host, Host Rep, Veteran

    @FlamesRunner said:
    Simple solution:

    Put a Bootstrap modal window over the sign up page containing NO CHARGEBACKS, refunds by ticket only and force them to wait 10 seconds.

    Francisco did this already with BuyShared, not sure how well it's working for him.

    It mostly works. We've seen a decrease in how many people signup with bad details but then we also get the cases where 'fuck the police' is the customers go-to motivation and refuse to listen. Those people don't get their orders approved though.

    When it comes to chargebacks, we suspend all of a users services and go from there. Sometimes Aldryic will let them continue, but usually that's a one-way ticket out the door.

    Francisco

    Thanked by 1FlamesRunner
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