Jenstar - 4:22 pm on Jul 18, 2003 (gmt 0)

You should also investigate the reasons for the chargebacks to see if there is a pattern to the problem. Are they from stolen credit cards? Certain countries or regions? Chargebacks because customer states they never received the product? Or the product isn't as described? Or because the product is inferior to what the customer expected? (I am not telling you to improve your product, but just stating one of the common reasons why people do chargebacks)

If there is a pattern to the chargebacks, that will give you a starting point to try and correct the problem and see if you can reduce your high number of chargebacks. And yes, 20% is considered high.

If your merchant account provider sees you are taking pro-active steps to reduce the number of chargebacks, this may help if they are considering dropping your merchant account.