One of the biggest challenges to businesses is chargebacks. Many companies have merchant accounts that enable them to do credit card processing and debit card processing. Chargebacks can be described as a return of funds to the consumer; it is the reversal of a previous credit card payment or debit card payment that the consumer made for goods or services. As more online credit card processing transactions occur, the number of chargebacks is growing. Thus, companies with merchant accounts need to understand how to dispute chargebacks if they want to continue to prosper. The following is an explanation of how companies can dispute chargebacks.
Know the rights that companies have in the chargeback process. Company executives must do their homework; it is necessary to go online to research this issue carefully. Also, company executives should consult an attorney who specializes in commercial transactions if they want to fully protect the company. There are specific laws that apply to chargebacks, and if company executives know these laws, that gives companies a tremendous advantage in fighting chargebacks.
Keep Good Records
It is important for companies to keep good records of all consumer transactions. It is important to be able to do a quick search and find any transaction very quickly if the need arises. Also, having records of any emails or letters that were sent to the consumer in an attempt to resolve the problem can be helpful. Having good records makes it more likely that companies, in a court of law, will be able to give valid responses to all of the consumer’s concerns.
Put Policies in Print on the Online Purchase Pages
If there is specific language on the purchase page that says that there will be no refunds, that should be noted. In the event the consumer asks for a refund, companies could refer the consumer to the webpage where it says that there are to be no refunds. Granted, if there are credible or valid disputes, those should be handled promptly and with utmost care.
In order to keep good records, if companies do not outsource, it might be necessary to upgrade equipment. Data from customer databases or servers can also be integrated into records in order to give a more accurate picture of what purchases are being made on a daily basis. This will enable companies to spot any potential problems early.