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Chargeback fraud

Discussion in 'Business & Tax Advice' started by gangsta1, Feb 19, 2010.

  1. gangsta1

    gangsta1 Regular Member

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    Hey,

    I want to sell my e-book but I am worried about making money, spending it and then recieving chargebacks. As I am currently with paypal I believe that they will take the money back from me (I am non-US btw).

    What merchant processors out there will not take the money back from me in the case of chargebacks?

    Heres a list I gathered:

    clickbank
    paydotcom.com
    e-junkie
    webmoney
    plimus
    moneybookers
    clickshare
    cj

    ANY HELP IS GREATLY APPRECIATED!
     
  2. raidel21

    raidel21 Regular Member

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    Offer a no-refund..
    Clearly Stated .
    Don't spend the money for 30 days.
    Not much more you can do.
     
  3. BlackSeng

    BlackSeng Jr. VIP Jr. VIP

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    Try Click2sell.eu

    But never forget... Clickbank has a huge army of affiliates.
    I would still go for Clickbank.

    As long as you make a flawless product, you will suffer low refunds.
    Just respond and assist your customer whenever possible and you won't suffer any chargebacks.
     
    Last edited: Feb 19, 2010
  4. glaxxon

    glaxxon Junior Member

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    I remember seeing a site with which you can automatically sell digital stuff. It was something like payload. Not sure.
    Ya its payloadz.com never tried though. Can someone suggest.Posted via Mobile Device
     
    Last edited: Feb 19, 2010
  5. seowizards

    seowizards Junior Member

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    You will always come across people who do charge backs. but offering a no refund in your sales pitch would actually turn alot of customers away.

    your sales to charge back ratio will always be higher, if you have a great product.
     
  6. jodys

    jodys BANNED BANNED

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    Ummm, none will protect you. You need to protect yourself. Selling a good product with a high margin of profit is your best business advice. Expect 1-2% in chargebacks, any more than than and you'll lose your account regardless of where you have it. If you don't lose your account they'll hold funds to build a reserve fund that they will keep as long as your account is open. PP does that now for high risk accounts. They hold a percentage of money to fund a reserve account. Price of doing business on the web - learn how to work WITH it rather than AROUND it.
     
  7. gangsta1

    gangsta1 Regular Member

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    I am also concerned about affiliates using stolen credit cards to buy my product, me paying them and then getting a chargeback - so I would lose the price of the product, the chargeback fee and the affiliate commission.

    Is there a way to get paid commission back from fraudulant affiliates? Perhaps not paying them for 30+ days to wait and see is the best option?
     
  8. neuromancerx

    neuromancerx Registered Member

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    forget credit cards then, there's always a chargeback or stolen card risk.
    accept Liberty Reserve only, there's tons of LR exchangers in Canada now who will accept a cash deposit in a bank or ACH from Wells Fargo or Bank of America for nearly no fees.

    in fact, you could become your own exchanger and make it easy for customers to buy, then refer them to it during checkout. that way you lose no fees to an exchanger
     
  9. rps1969

    rps1969 Newbie

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    In a nutshell there is nothing you can do about chargebacks as the consumer can claim under section 75 of the Consumer Credit Act 1974, that holds the lender jointly and severally liable for the breach of contract. Well thats here in the UK anyway..
     
  10. SpiderWebMaster

    SpiderWebMaster Power Member

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    epassporte... there is no chargebacks/claims with them

    money sent is money sent, no way to get it back :D
     
  11. newkid...

    newkid... Jr. VIP Jr. VIP

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    Paypal is too bad... One fine day I found my hosting account suspended. After enquiry, I got to know paypal has done chargeback to my provider without any intimation from my side.

    And they have put my account into limit... What a BS



     
  12. Choronzon

    Choronzon Power Member

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    I sell a digital product (not an ebook) but I stand by my product 100%. It is the best value in its class and is super easy to use. I think this is the secret, I have had only 2 chargebacks in the past 6 months and that was only because people bought it assuming it might do something else (even though I told them it probably wouldn't be very good quality) sorry I can't elaborate more without giving out my niche.

    Anyway, the point I am making is that if you offer the best product and the best support your chargeback rate will be low.