Scariest Part of Accepting Credit Cards
 

What is the scariest part of accepting credit cards?

Mass fraud with stolen lists?
Bogus chargebacks by bad clients?


Which one is hardest to control or protect yourself?

I would think it is the collective issue of bad clients charging back their porn purchase since the bank will always take the customer's side.

It's the chargebacks, not many are fraud, there is a lot of fraud, but I think the most of chargebacks are from actual customers that just don't want to pay for it!

jDoG

So we protect ourselves by:

1) Making it easier to cancel the subscription.
2) Charging less per month so that recurring billing doesn't become a chargeback trigger. ($9.99)
3) Refund to avoid chargeback.
4) Exit interviews to gather better customer information.

What else?

More and better content.

It's the chargebacks.

The worst is when an affiliate commits fraud...I just got hit last month and it is not pretty dealing with the CB this month:(

imo

1. Fraudulent affiliates

2. Misleading sites

People learn very quickly how easy it is to charge back. I can't tell you how many times I have been told "no problem, I'll just charge back". Basically, you make a purchase on the net you can charge back no questions asked.

In my mainstream business I have had chargebacks even though I have had delivery confirmation and they even signed for the stuff shipped via FedEx. End result, they got the stuff and they got their money back and there wasn't a damn thing I could do about it. A person does it once, sees that it is easy as pie, and pretty soon they do it all the time, they tell their friends, they tell people on discussion boards...and the problem continues to grow.

That's why its a must to be set up with a good merchant account who can help you dispute such chargebacks or offer some sort of insurance on tangible goods that you will get your product back if the customer decides to chargeback