Chargebacks are an inseparable part of running an e-shop and accepting online payments. However, there are certain steps you can take to minimise the risk of getting them, so take a look at the following list and protect your business from potential loss.
- Remember that clear information can save you a lot of money and trouble.
- Make sure that you provide your customers with all the possible contact information.
- Your contact details such as a physical address and a telephone number should be clearly visible on your website.
- Provide accurate descriptions and images of your products.
- Use a clear DBA (Doing Business As) name that customers will recognize.
- Put your phone number on your customers’ statements. If they do not recognize your DBA, they can call you to find out who you are and why you have charged them.
- Be clear with your return policy, as well as your shipping policies. Make sure that customers read the policies before their order can be processed.
Good customer service
- Provide the best possible service. This way, the customers will contact you first, before calling their issuing bank to initiate a chargeback.
- Work closely with the customers to establish a mutually satisfactory solution if they dispute the quality of the goods or services purchased.
- Refund in a timely manner and inform your customers on how long it will take before the refund will enter their account.
- If a customer requests cancellation of a recurring transaction, always respond to the request and cancel the transaction immediately or as specified by the customer.
Keeping in touch
- Keep your customers up-to-date.
- Always send confirmation e-mails to your customers informing the customers on the status of their order.
- Once shipped, send another confirmation e-mail including shipping details and tracking information.
- If the merchandise or service will be delayed, inform the customer of the delay and the new expected delivery or service date.
- If the merchandise ordered is out of stock and delivery will be delayed or this item is no longer available, provide your customer with an option of buying a similar item or cancelling the transaction.
- Keep track of your transactions.
- Contact any orders that may seem suspicious to you.
- Make sure to verify the customer’s address.
- Always get signed proof of delivery.
- Be very cautious of any foreign orders, especially from Asia, the Middle East, and most parts of Africa as they are considered high-risk.
- If the shipping address is different from the billing address, try to confirm the information.
photo source: SXC.hu