Preventing chargebacks and inquiries
When you let your customers use credit cards on your store, there is a chance of getting chargebacks or inquiries. You can follow some general steps to prevent some chargebacks and inquiries:
- Investigate suspicious orders before you fulfill them.
- Make sure that your contact information is easy to find on your store.
- Respond to customers quickly when they contact you with any problems.
- Inform customers about your store's policies.
- Keep your customers updated throughout the shipping process. Use online tracking and delivery confirmation when you can.
Different types of chargebacks and inquiries can also be prevented in specific ways:
|Reason for the chargeback or inquiry
|What it means
|How to prevent it
|The customer didn’t authorize the charge. This is the most common reason for a chargeback and can happen if the card was lost or stolen.
|The customer doesn’t recognize the merchant name or location on the card statement. Respond to this in the same way that you would to a fraudulent code.
|The customer believes they were charged twice for the same product or service.
|According to the customer, you charged for a subscription after it should have been canceled. It can also mean that the customer expected a reminder before each recurring charge but didn’t receive one.
|Product not received
|A customer claims that they didn't receive the goods or services purchased.
|The product was received but was defective, damaged, or not as described.
|Credit not processed
|The customer informed you that the purchased product was returned or that the transaction with you was canceled, but you have not yet refunded or credited the customer.
|This type of chargeback, unlike the majority of chargebacks, doesn’t fall under one of the specific categories described.