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Techy Fun: Credit Card Chargebacks

As I’m in the process of slowing shutting down other sites I’ve worked on (due to time constraints), I’m reposting them here. Here’s an article from “Behind The Frontline” which was going to be a cross between I Work With Fools, Worse Than Failure and Dilbert.

Category: Timewasters. Author: Anonymous.

A customer called us around a month after setting up their account with us wanting to cancel it. We said all account cancellations had to be done online for security purposes and lo and behold they cancelled their account online. All good so far.

A week later, they phoned asking for their money back as they never used the account. Pointed out the bit in our Terms of service about “No refunds” and the fact the account was active for a week. We didn’t hear anything from them for a few weeks until we got a letter from the credit card company saying the customer had actioned a “Chargeback” from us (a charge back is where the customer contacts their credit card company to claim the money back which then claws it back from us and stings us with a additional charge).

I produced a 6 page detailed explanation of the fact they signed up (including details of their browser, IP address etc), they ticked the box saying they read and agreeded to the terms and conditions (where it said “No refunds”) and then got a senior tech to look at their account. Quite a few log ins from the same IP address over the month where “the account was never used” and found a page saying “I haven’t got time for this now, will try again in a few months time”. Compiled all the evidence and sent it back to the credit card company.

A month later, got a letter back from them saying they’ve examined the evidence and have reversed the chargeback (i.e. we are in the right and get our money). Always good to know. And it’s also good to know credit card companies take a big disliking to people who make malicious chargeback requests – even to the extent of legal action against them.

Mwhhahahah!

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