For all the high-risk businesses out there, chargebacks are an unavoidable part. At last, everyone has to deal with them. As they are there, dealing with them doesn’t come easy. For most high-risk businesses, chargebacks are an inevitable annoyance; but for some merchants these chargebacks can impact revenues and also prevent them from getting accepted from various merchant service providers.
For a high-risk business, high-risk merchant service providers in UK offer a way out. The high-risk merchant service providers in UK can help your business claim the chargebacks, but the best way to deal with them is to use protocols and tools to decrease the chargebacks in first place. This is also true for high-risk industries where the chargeback ratios are significantly higher than the norm.
If you are running a high-risk business and you are looking for merchant account service, there are high-risk merchant service providers in UK who can offer you a full roster of payment processing solutions. You need a payment service provider who can offer your customers a complete range of payment options, including all major credit and debits cards, e-checks and digital wallet payments at the fees that you can afford.
What is a chargeback?
A chargeback occurs when a customer requests its credit card issuer and demands refund for the goods and services he paid for. In a typical form of chargeback, the customer makes a claim and the bank investigates. Once the chargeback is investigated and validated, the customer is refunded the full transaction the amount of the full transaction.
Chargeback requests are made for many reasons and some of the most common ones are items not delivered, dissatisfaction of goods or services, damaged goods, cancellation of a subscription, merchant error, and unauthorized transactions.
For business owners, whether big or small, customer disputes are not a good thing. The large business still come out strong from these chargebacks but small business owners are quite vulnerable as too many disputed transactions can significantly impact their sales revenues.
For all the merchants, it is possible to dispute chargebacks and win. However, there are certain situations where a merchant must accept the loss of a chargeback, even when it is not their fault. Ultimately, the outcome will depend upon the type of chargeback that was issued.
All the chargebacks are not the same and you need to understand it as well. There are three different type of chargebacks – true fraud, friendly fraud, merchant error. In all these types, either the merchant or the customer is responsible for the fraud.
Your high-risk merchant service providers in UK will help you deal with it.
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