Chargebacks are killing me

Chargebacks, frauds

[janny93]

Hello, we do have a e-commerce website and using Linkpoint merchant system. We do have lot of chargebacks. We do not ship products, people are downloading them after the payment is received. It is really bad. Linkpoint and Cardservice fraud protection is really lousy. Could you please somebody tell me what to do, how to eliminate chargebacks?

[Morocco]

Soquinn,

VbV and MCSC will cover you as long as the trx passes AVS. Period.

[justinsane777]

We authorize for $.01 at time of checkout which gives you avs and other info, then we use that on the backend to check into the orders before charging. works pretty well.

[Morocco]

So you use VbV and MCSC?

You must be processing a large amount of trx.

Which platform are you using? Is it Arcot(in house) or Cardinal(asp)?

[galexyus]

With VbV, what happens if somebody was fraudulently charged not using VbV(the card is not registered with VbV), AVS passed and all the info looked ok, and then the person requests chargeback from her bank? Am I just taken the ammount of charge away without paying chargeback fee? Can anybody clear it up for me please?

[Morocco]

Visa protects you on enrolled cards and non enrolled cards 100% period.

If a cardholder hasn't created a VbV pin Centinel will do an attempted authentication, which means they check and see if they have created a pin number. If they haven't, you will be returned a digital signature which is a receipt meaning you attempted to authenticate that card. That digital signature blocks all fraudulent chargebacks in the Visa payment network. Meaning...Visa will not pass it on to your merchant bank, it is simply stuck at the cardholders bank.

Shopper: checks out seeing nothing.

If a cardholder has created a pin, Centinel will recognize that in the directory, and go the cardholders bank and retrieve the pin and return to your site. When it comes back the last part of the checkout for the consumer will be the VbV screen, which they will expect to see because they took their time to create a pin number for the program.

Shopper: They see the VbV screen.

MC is different, they only protect you on cards that have created pin numbers. By the ned of the year MC is scheduled to follow suit like VISA. JCB has jumped on board and so has AMEX along with DISC.

Its a revolution.

PS There are two primary vendors out there doing this for Visa one good (asp $300), and one bad (in-house $20,000)