Customers should prepare for significant changes in the way chargeback disputes will be handled in 2018. The Chargeback Company’s dispute resolution process was designed two decades to help customers resolve their issues. However, this system has been facing major setbacks primarily due to; high electronic transaction volumes, card present scam and negligence among cardholders. As a result, chargeback rates have escalated instead of reducing.
Chargeback fraud can either be friendly or legitimate. Researchers have severally sited that sometimes friendly scam accounts for most of the chargebacks a merchant records. That’s why you need to conduct a thorough retail merchant services review to ensure the vendor you choose protects you from most of the crimes you vulnerable to. And it’s no longer this time round experts in the chargeback protection industry are laying more emphasis on friendly fraud than on legitimate fraud.
The company is also planning to smooth the process to reduce the time a business owner takes to handle one customer’s dispute. The long tiring process has slowed down the merchant’s speed amid the high rates making fighting chargebacks even more difficult.
And this time, the firm plans to disdain the “customer is always right” mentality. For example; for disputes where the card is not stolen, the company will check to find out who initiated the transaction. What if a child uses the parent’s credit card without his/her consent?
Or maybe, the claims are as a result of shopping cart abandonment. Like last year when online shoppers abandoned 75% of all merchandise, they added to cart for one reason or another, some include; long checkout periods, high shipping fees/taxes and so forth. The buyer only realizes they’ve made a mistake when they receive the bill. For such cases, the Chargeback Company will analyze the data to determine the stage at which the client abandoned the purchase and why. This will be easier to find out because the devices they intend to use will be recognizing identification numbers and establishing the actual user.
The fact that technology will dominate most of 2018’s chargeback resolution process doesn’t mean the system is now fully automated. Every aspect of a typical transaction will be handled using specific tech and what has not been computerized will remain as they are.
Author Bio: Electronic payments expert Taylor Cole is a passionate entrepreneur who enjoys to write, produce music, and travel. Bestpaymentproviders is the UK’s best retail merchant services review company, serving both traditional and high-risk merchants.