Dec 2, 2016
Offering subscriptions on your website – it is important to understand why your clients are turning to banks to claim their money back.
There are 5 common chargeback reasons:
1>Cancellation of recurring payment
2>Credit not processed
3>Transaction not recognized
5>Fraudulent multiple transactions
So how to prevent chargebacks from occurring?
1>Have all kinds of ways to communicate with your clients:
There are some clients who, instead of making an immediate charge, because they do not recognize a charge, would try to contact you first. Therefore, you must offer these customers an easy way to communicate with you by email, chat or phone.
2>Use a recognizable company name:
Optimize your descriptor. The descriptor of your credit card is the name that appears on the invoices of credit cards or online statements of your customers. Therefore, it is better to use your legal name or URL to avoid misunderstandings.
4>Clearly see your subscription conditions:
Another important thing is to clearly indicate in your terms and conditions all the subscription billing requirements in a visible place for your client or potential client.
5>Don’t hold onto your customers’ money:
The longer that money is in your possession before your customers get what they paid for, the more time your customers have to issue a chargeback.Billing after you’ve already provided your service reduces your chance for a chargeback.