Do you know your chargeback rates? Kiss and tell.
 

So, the new Visa regulations mean a lot of stuff. Some people will get hit hard by the $750, but most will get past that just fine. Some people in other countries will need to do something about a US presence.

There is something we *all* need to worry about, though. Chargeback rates. So, look at the history of your sites, if you have any paysites. How are you doing?

My overall chargeback rate is about 00.02% since I started. Anyone else want to share?

0.0% the only charge back in one year was from a woman who came back a week later and re-ordered. We told her to stick her order and business.

So that does not count.:winkwink:

So far, not seeing anyone with anything to cry about. Anyone else dare to share their numbers?

If there aren't a lot of sites with high CB ratios, I have two questions... First, why the panic. Second, why the policy to stop the alleged high chargebacks.

0.3%

900% I make all my money by senfing out invoices to my affiliates..

This will be interesting. :) If all the doomsday people are right, everyone should have massive chargebacks because chargebacks are all the fault of seedy consumers who know how to beat the system, and not the result of crapass sites with crapass content and tricky terms.

Since I have only had three chargebacks, I can be pretty sure that none of them was the result of a poor member area. One might have been a theft, but I am pretty sure all three were scams. (Some clues in the info.)

I bet we won't hear from any of the major sponsors, though... ;)

on average how many times can a punter chargeback per processor before getting added to a scrub list?

Highest CB month: 0.4%

I hope not very many. I would think once, maybe twice, would be enough. Its not like many people get their cards stolen and such very often. Of course, they don't even have to report a theft to charge-back (for some reason) so who knows.

For the last few months it was 0.0%, but today it's 1.08% My overall chargeback rating (from GloBill...nya-nya-nya-nya-nya-nya!!!) is "normal" (they are strict, and getting a "low" rating from them is pretty damn nigh impossible).

hello Mates,

This is a great discussion thread!

Honestly in a full year of business we had until today 9 chargebacks but 3 comes from the same person.

This means that that person is a thief!

Unfortunatly, has you know some fraudsters will chargeback anyway independently of your sites content just because they are criminals :ak47:

Those 9 chargebacks resutls in a chargeback ration of 0.01 % and sincerly we think that that number is pretty acceptable.

What you don´t maybe know is that some Billing Companies like IBILL uses the chargeback columns to SCAM US by issuing fake chargebacks to make some extra money.

We used our traffic to promote sites using IBILL for more than 5 years and always had a chargeback ratio more than 1%!!!!

We discussed this mater with many webmasters and they came to the same conclusion :mad:

Please tell me you are a joke. "Animal Dollars"?

Sounds like you guys are not processing alot of transactions?

A 1 - 1.5 % chargeback ratio is rather common among the medium and large sites....

And there are even companies/sponsors with + 3% chargeback ratios, but they are being protected by the processors from being shutdown.

The medium to large sites tend to use more smoke and mirror techniques in their offerings...so it comes as no surprise that their chargebacks would be much higher. Thats the real shame of this whole VISA thing. The highest degree of honesty can be found in the small independant sites. And they stand to be hurt the most by the new rulings.

It's no wonder your c/b ratio is so low, all your join links are 404. So is the homepage of your processor dibill.

Good question. It's not alot but the crooks get around it. I saw a guy on a hacker site telling people that he reports his card missing every few months to get back into sites that blocked him.

CCBill and IBill have to give us some tools for blocking these assholes. All refunds and chargebacks should be added to the scrub filter. Right now they refund people and dont even block them from my site. A refund at my site should atleast be blocked from my site ! Sure, I can block them if the customer mails me but the people who want refunds ALWAYS mail the processor and then the processor does not block them.

I am indeed doing a pretty small volume. However, I disagree with your point. Smaller sites will have lower chargeback ratios, not higher.

For one thing, it is the big sites who pull all the shady tactics ("free previews", "3 day" 2 day trials, etc.). Plus, they tend to pad their sites with unrelated content to claim "50,000 VIDEOS! 500,000 IMAGES! 10,000 STREAMS!"

For another, a little probability will tell you that fewer transactions is likely to show inflated numbers... Larger volume means a bigger sample, and a more accurate number.

Plus, smaller sites have more loyal customers. All signs point to big sites being the chargeback culprits.

well here is my 2 cents. i dont get to much time to read these boards and such but here goes..

around mid septmber sign ups stopped cold every year i see this happen and always figuered they are up to something.

so we called up a few radio stations that we get interviwed on and that usally brings in a bunch of sign ups..

we did 3 radio show's and nothing not one sign up. which does not make much senes we should of even just gotten one sign up..

another interesting thing is i paid for banner placements using my visa maybe 4 months ago. went through and my banner was up. they used one of the big three of which i use also.. well a person emailed me and said they could not join my site it was refusing his card.. so i tried to join my own site and damn it. my credit card got refused. funny thing i just used that same card a few days before with the same company.. so i had 3 other people try. same deal all refused. reason was something like end users was in a high risk pool? so after checking my stats mine and the other 3 peoples card never should up in my stats as not going through .. so then i called like a cusomter would and ask them why my card didnt go through got the run around bullshit answer.. thats when i recalled back to them and talk to the boss.

never really got a good answer so i kept trying and had the other people try.
i would say it was almost 3 weeks before those people could join my site..

i have been with 2 billers now for over 4-5 years have alwas been really happy with them but things may need to change now..

also if you use 2 billers on your site that means you will have to pay 750.00 to each for the same site? dont think so...

i have alread taken down visa as an option on sign ups. so let them play there games. visa wont hurt us that bad remeber when amrecian express said NO MORE adult and poof they were gone. we lived and found ways around it..

has anyone looked into pay pal? they use all cards and i have not seen any notice up at all .. they gonna make all those ebay buyers and sellers pay the 750.00 dont think so..

i do feel sorry for you people after looking at my rebills most are checks about 80% so the 20% thats left hopefully its 15% Mc and 5% visa...

another good point you people were talking about charge backs.
i run 3 pay sites with a pretty good membership base. i just check in the last year i had 11..

1 was some asshole that joined then charged back 3 months later he joind and charge back again..
2 were people that charged back 2 months worth and the others were just single charge backs..

but heres another point your going along and you Cb ratio is great right in line.. but one month you get a few assholes that chrage back 3 months or so there goes your Cb ratio and will visa kill your account even though the following month your back to normal.. thats what my stats look like and well in the 0.00 to 0.01 range but that one month when sales were slow and the buttfuckers charge back a few month my cb for that month hit 2.5 because of that...

so it seems you will also have to worry about sales to offset a bad month to keep your cb ratio's in line .

welp thats my 2 cents. hope it made any

Oh Btw Any see on tv danni ash is in trouble with a radio station because she was using the for hold music...

sure. it's been under 1% for the past 5 years.

It is good to hear that from someone with hefty business. However, I always got the impression you did things honestly. What about the shadier characters out there. I bet some major sponsors have new pricing models by the end of the month.

I pretty much run the daily operations over at quiet headquarters, we're an honest bunch

with all these low chargeback ratios, this is starting to remind me of the y2k bug

This is only what I have seen from my dealings with our own sites and partnerships with other sites, but as soon as you start processing thousands of transactions a week you will most likely start seeing higher chargeback ratios.

And as you, I am curious to know how the real big sites are doing in terms of chargebacks - I am not talking about sites with 10,000 or 20,000 or 30,000 members but more like 60 - 100,000+ recurring members.

I am not so worried about the chargeback ratio - I am worried about the chargeback + refund ratio.

say you are welll below the chargeback threshhold - 0.1% currently for the past six months.

But add in the refunds because you are nice and just refund basically anyone who asks for it to avoid a cb - 1.02%

Will this screw a lot of honest sites too? curious about how many people give out refunds....

I pulled these numbers from a friends site... they do decent numbers in terms of signups I think.

"It's no wonder your c/b ratio is so low, all your join links are 404. So is the homepage of your processor dibill."

... sweet !!

Refunds haven't been a problem. We have had no legitimate requests for them. Only one even borderline, and they never charged back. For us, chargebacks are about scam, not dissatisfaction about the site.

Are you even worried about this new chargeback limit?

No chargebacks and I think about 3 refunds since March of this year. So we are good to go and the refunds were from I-Bill still processing the rebill after the user had cancelled, so not even from an unsatisfied customer. We left I-Bill shortly after the 3rd time.

AJ

My paysites don't do too many sales, as they are both fairly new, but I do have a 0% chargeback on about 186 sales... That doesn't mean much with so few sales, but you asked!

So, VISA says this is all to crack down on chargebacks, right?

Well, here we are, a bunch of adult webmasters. We have virtually no chargebacks. So, my question is, where is the problem? Anyone?

seems like a goverment back door or just greed...

*does a smurfy dance*

Could be seen another way. I mean, if I could get $750 out of 1% of my customers, I would. Same goes for .05% or whatever, especially on the scale of VISA. I think we're looking at Greed, more than Conspiracy.

I have had a few,
4-8 cus some advertiser started generating false signups.
Thank got I cought the sucker on time.

We have less then 1% according to ibill stats and epoch.
Some times we jump above but its usually .5 to 1.00%

Okay I'll bite, 'smoke & mirror techniques in their offerings'?? Can you explain a little more? :)

Funny how http://www.dibill.com/pics/logo.gif display these cards http://www.dibill.com/pics/cards.gif put apparently don't take Diners.

"What forms of payment do you accept?
We currently accept Visa, MasterCard and JCB credit cards for instant online sales."

Here is an example of one:

You surf into an Ebony only site, and it says on the opening page that it contains 500,000 pictures inside.

You like black chicks with big asses so you signup, only to find that the ebony selection inside comprises only 10,000 pictures and the rest of the pictures advertised are from the sponsors other niche sites, of which you are not interested in.

False advertising or creative marketing?


As for chargebacks, check out GloBill's refund policy.

I think they scare the surfer from attempting to commit fraud. Keeps the refunds at 0 and the chargebacks very low.

Here's one.. a "Three Day Trial" that you have to cancel within the first two days or it rebills.