Contest a chargeback?

[Rewdog]

We have had a certain customer for 2 years, and we rebill yearly unless otherwise told to cancel. We recieved in the mail today notice of a chargeback for the month of NOVEMBER, and this customer has used our services up till January 21st, his last charge being in january 3rd. We never recieved notification of his wanting to cancel, he actually seemed EXTREMELY pleased with our service.
So basically he's getting a free ride with the past 3 months!? Anyone had to go through this before? All the chargebacks we've had to go through were not warranted, IE an order with a stolen credit card number, we cancelled the account, refunded the credit back, and a month later he does a chargeback! Getting twice the money.

Are chargebacks now just a way to get some free service and extra money?

[allan]

Unfortunately, it has been my experience that it is very difficult to successfully protest a chargeback. This is especially true for a service. It certainly cannot hurt to try.

[vito]

Rewdog, sorry to hear of your trouble. It's a shame to hear this kind of stuff going on. Unfortunately, banks heavily favor the cardholder not the merchant. You can try to contest it, but it may take more time than it's worth.

I really don't understand banks. The odd time I get a chargeback, I'm usually sent a "clear copy request" allowing me 7-10 days to clear it up with the customer. And if I can't, it allows me an opportunity to process a manual refund. Yet other times they just plough through and process a chargeback straight away.

Would it kill them to set up a more equitable system for all parties that might just cut down on the inequities/abuse such as in your case?

Damn banks...:uzi2:

Vito

[LetsFly]

so did you win the chargeback or not?

[GordonH]

Hello
We are in the pilot program for "verified by visa"

In this syetm the customer has to enter their card pin number at the point of sale.
Obviously most people do not have pin numbers so they just click the box to say they havent got one.

In return for implementing the system, Visa have passed responsibility for chargebacks back to themselves.

We are only covered for European transactions at the moment but it goes worldwide later this year and most payment processors are goingto implement it.

This week one of our customers charged back an annual payment 10 months into it so i suspended his site.
He asked for it to be turned back on so he could email his bank.
Thebnext day his domain is pointing to different name servers.
I email the new host and they kick him off.
I locked his domain name and changed its passwords.
I am now negotiating with him for payment of the outstanding bill and the chargeback fee, but I have insisted on a signature and a copy of the card.

Sometimes you just need to use guerilla tactics.

Gordon

[LetsFly]

its funny Gordon how you always seem to complain about the process of chargebacks, yet time and time again, more the once, people have suggested getting a signed form from your customers.

If you had that, 99% of your chargebacks would seize

[GordonH]

Hello
We already get signed faxes from our hosting customers.

The chargebacks we are currently getting are for domain names.
And multiple monthly payments which started more than 14 months ago (when we started getting the faxbacks)

Gordon