What Is Chargeback Defense?

A chargeback may not represent a big problem for your company. But if you do not have a proper chargeback defense in place, then not only will you lose money every time. But you will also risk being affected negatively but possible fraud attempts. So, you need to ensure that the payment processing company will take care of all your credit card payments. And that it will provide you all the tools that you may need to prevent this type of problem from arising.

Every time that you lose a dispute, you will not only need to pay back the transaction in full. But you will also need to pay the fees for the transactions. This means that you will lose all the money paid for both the purchase transaction and the lost dispute. So, you do not want to have a high number of such disputes. Because they will affect the cash flow of your company. A reliable payment processing partner must understand this fact and help you prevent these situations.

Of course, you also need to take the wellbeing of your customers into account. So, the defense measures that you need must consider this factor as well. If the mistake is made by your company, then you will need to support the costs. But if your company did not make any mistakes, then you must win any dispute 100% of the time. And the processing partner must provide you this level of security.

Mandatory Features of a Proper Chargeback Defense!

There are five features that a proper https://www.bams.com/chargeback-defense/ chargeback defense needs to have. They will ensure that your company will never suffer losses unjustly. A physical company may not need all of them, but an ecommerce will certainly do. So, while searching for a reliable company, you need to ensure that it provides all these features.

• Instant notification. The standard payment processing options will notify your company through postal services, and this will cost you time. So, you may not have enough time to respond, and you may lose the disputes unjustly. For this reason, you need a processing partner that notifies you through a message. Finding out about a dispute in seconds will give your team enough time to respond and solve it.

• Online management. The payment processor must also provide online dispute management. Why? Because your team will have higher efficiency in dealing with any problems, and it will not need to make calls and fax documents. They can simply upload everything and win the disputes while spending as little time as possible. Keep in mind that the more time is wasted, the harder it is for your company to deal with the problems.

• Fraud protection. A reliable partner will also ensure that no payments are made until the dispute is solved. You do not want any payments to go through beforehand. This is basic protection against fraud attempts. Without this feature in place, you could lose your money without any possibility to get it back even after you win the dispute. So, the processing software needs to have an integration that will allow you to prevent the payments from going through before the dispute is over.

• Cardholder authentication tools. Providing convenience through your payment methods is important. But you do not want to make the process too easy. You need to ensure that the cardholder is the person using the credit card to make a purchase. This feature will prevent a lot of disputes from even arising.

• Assurance. And the last defense feature that a payment processing company must provide is assurance. It must be able to provide you assurance for every checked transaction. This means that even if a dispute arises and you lose it, if it was approved for assurance, then you will be compensated. Although this method will slightly increase your costs, it has the potential of preventing many losses for your company.

Why Do You Need to Manage Any Potential Chargeback Problem?

As mentioned above, a https://www.bams.com/chargeback-defense/ chargeback is not able to create any problem by itself. But if their number is too great, then your company may encounter many different problems. So, you need to manage the risk even before it appears. Otherwise, the losses will be very big. And the best method to do that is to find a reliable payment processing partner. By doing this, you will not only get a strong defense, but you can also reduce your processing costs and increase the efficiency of your company.

A reliable partner will provide you with alternative processing methods that will reduce many of the fees that you need to pay right now. Moreover, these alternative methods will not require a lot of time to be implemented because the software will automate most of the process. This means that you can efficiently reduce your costs without losing any extra time in the process. Moreover, you will also benefit from other payment methods that you can introduce to increase the number of potential customers that can buy your products and services. This is especially effective for ecommerce companies that only have credit card payment methods. With only those payment alternatives, there will be a high number of potential customers who can’t buy your products or services because they do not use a credit card.

A top-notch processing software can have many different features. But you must ensure that all your company’s needs are covered by these features. So, you need to do proper research and find a partner that will not only take care of your security. But it will also help you reduce your cost and increase the efficiency of your company. One such method is through a reporting and analytics feature, which will allow you to see all the financial information of your company. This will allow you to make important and efficient decisions that are based on the needs of your company.