Chargebacks can ruin even a successful business. They are annoying to merchants, and most of the time their fees come without warning. While it may seem like chargebacks are inevitable, there are ways that can help you stop them before they affect your business.
Chargebacks occur when a customer calls their bank or credit card provider and reports a faulty or false charge. While the vast majority of chargebacks are legit and come from stolen cards, some are not. Some are from customers who are regretting a purchase or are upset with a purchase. Chargebacks happen more often in “high-risk” companies. These companies include car dealerships, online auction websites, adult dating websites, and adult entertainment websites. Chargebacks can ruin your business, due to their massive fees. Many times, the fees are much more than the amount of the actual purchase. Chargebacks seem like something that may never go away, and in reality, they will not. However, if you invest in chargeback insurance, you are guaranteed to ease the pain of a chargeback.
Chargeback insurance alerts you to the chargeback, and can also help save you chargeback fees. While you may have to still pay a fee, it will be significantly cheaper than not having chargeback insurance. Not all merchant account providers offer chargeback insurance, and it can seem challenging to locate one. The first place you need to look is EMB or eMerchantBroker.com. We at EMB are dedicated to helping you and your company succeed even though chargebacks. Our chargeback insurance is top-notch, just like our merchant account services. Each of our team members has many years of experience dealing with high-risk merchants, and we know the problems and obstacles in the way of a successful high-risk company. We dedicate ourselves to helping you and your business succeed. Chargeback insurance may seem like an extra charge that you do not need, however you do need it. At any time, a chargeback can hit your account, and you may not receive an advanced warning. Chargeback insurance can save you from the surprise.
Chargebacks are horrific for any business, due to their outrageous fees. Even one chargeback can hinder a business. While it may seem inevitable for your business to receive chargebacks, you can catch them and lessen their fees if you invest in chargeback insurance.