Forum Moderators: buckworks
The worst case scenario is when a buyer intentionally is defrauding you and never had any interest in paying you or as in my case, at the minimum, the consumer was too cheap to buy insurance, and is now regretting that decision and is hiding behind the fact that I probably can't or won't do anything about it.
The decision you will need to make is how much money do you want to spend to TRY and collect.
These seem to be the only three options:
1. Hire an attorney in the area the consumer resides and sue. This will cost you MORE tan it's worth. You would only do this out of principle.
2. Go to small claims court in that area and try to get a small claims judgment. But even if you win you still have to collectthe dollars. Some states require an attorney to be present others you can appear. In most cases this isn't practical.
2. Hire a local collection agency in that area to try and collect. If you can find one to take just a single account they might charge you up to 50% of want they collect.
Once again, after much research of the chargeback system, it is designed to benefit the purchaser, 110%.
The above is the cold hard truth, and I've felt it in every way.
-Corey
In our experience, the rate of customers claiming not to receive goods shipped went down after we ship via UPS. We've had absolutely no success trying to claim insurance from postal service, but have no problem with UPS.
We've successfully fought some chargebacks by having a clearly defined refund policy (valid only within xx days after purchase, no shipping charge returned, etc).
Thankfully, chargebacks are far & few in between....
-Corey
For now I don't agree with that, but our business may be different from yours. Each product we sell needs a signature when it has been received. Also noted on our site is the return policy and information on freight damage. In addition we also fax or email our customers detailed information on what to expect with freight and potential damages. If damages are evident it must be noted at the time of the delivery. If not we cannot be held responsible.
Works great and there are few if any calls from people wondering if they can get a refund on a damaged item noticed after the fact. We've only been online since July 2004, but so far no charge backs but we only do 5-20 sales per week. Inciodentally we're considered "mail order" which seems to make a difference in charge backs or so I'm told.
after much research of the chargeback system, it is designed to benefit the purchaser, 110%.
I am VERY glad I have the protection that chargeback affords. In several cases it has been the only way to stop unauthorized charges on my card
If you have high chargebacks, then it's probably time to reexamine your where you get your customers, your refund policy
we only do 5-20 sales per week
Oh, trust me I expect some complaints along the way, but for now a happy customer is more important than the sale to me. I think it's about due time to mention something about returns too--besides what's on the website--which many probably don't investigate throroughly.
We not only get one signature at the time of delivery but we also do an order confirmation which details everything in the order; description, product ID #, all costs, delivery location(sometimes it's freight terminal--large items) All order confirmations are faxed or emailed. Then the customer has to print, sign and return with their payment information via fax.
One thing that does conern me is, on ocassion the person that has paid for the merchandise isn't always the one to receive and sign for it. Something to be concerned about?
Xmas 2003 I took close to £2000 worth of chargebacks on profits of £6000 less your advertising costs and you know what? My margins were half what I wantedthem to be just because of some little turd whose dishonest.
Ive sold to consumers and had this problem as well as to small stores, some how people dont see this as stealing.
