How do you win dishonest credit card chargebacks from genuine cardholders?

[Angrymerchant]

How do you win dishonest credit card chargebacks from genuine cardholders?

I work for an ecommerce site that handles credit card payments through world pay.

We often have chargebacks from the genuine card holders who receive the product they ordered then file a chargeback saying they never received it. Even when I provide supporting documentation such as confirmation of delivery signed by the customer from DHL, FEDEX etc we lose the chargeback.

I’ve spent a lot of time on the phone to Worldpay trying to work out how to win these chargebacks but so far, there is no way I know of to win.

According to world pay if the payment is made by the genuine card holder who files a chargeback claiming not to have received the product they ordered, we should provide proof of delivery. Apart from this, there is nothing else we can do.

How does everyone else deal with this problem?

Is there a way to win this kind of chargeback?

How do you avoid losing money every time a genuine card holder decides to rip you off after you have delivered their order to them?

[blitzen]

1. Read your agreement with your merchant account. Phone them and get advice.

2. Get tracking numbers on each and every shipment. Yes it costs more but worth it.

3. Have that agreement notice as they enter their card info - if they don't agree to it, then they cannot complete checkout. Per my attorney, it is legally binding if you do it that way. Check with your attorney for your location how to make it legally binding. However, although we do everything right, we lost a disputed charge - the bank told us to take the consumer to court to settle*. Go figure.

4. Check the credit card verification code - if not perfect, my software voids the transaction and order. Customer is notified about the mismatch and asked to
phone us, where we get the caller ID and can check it most times via SE. Most times, phone calls are from honest people.
And, ship to the credit card address.

5. We deal with big-ticket items and ask customer to sign a credit card receipt for expensive orders before working on their order. The cc receipt states that they read, understood and agrees to our Terms & Conditions of Sale. Our ToS include a statement that they agree to the Policies as well. Getting a signature is really what the banks want.

Bear in mind that banks get the money from the consumer as well as us. Without the consumer using their card, they lose $$$. So, most times they will side with the consumer to not lose their business and keep them quiet and pacified (not go to media).

I lost a case where they refunded $2000 more than the charge was worth. Get this, I called the bank and they saw that but "had to get Visa's permission". You cannot call Visa to correct anything.

*Even if you do everything right, you can lose cases. Just bite the bullet and build losses into your profit margin. Consider the valid charges as Internet shoplifting.

HTH!