Other Chargeback Solutions

SET and Similar Offerings

That's one of the reasons MasterCard and Visa expect the Secure Electronic Transaction (SET) payment protocol to be so popular with merchants. With SET, cardholder information is encrypted in the transaction and transmitted to the merchant's bank, which decrypts it, authenticates that the cardholder is who he or she says he is (and that the merchant it legit as well), and gives the merchant an authorization to charge the card.  Many believe this system will gain in popularity as it becomes more widely offered.  This technique promises to help in reducing instances of fraud and decreasing chargebacks accordingly.

Signature Collection Services

A new development in online chargeback reduction is collecting signatures from customers via a mouse.  This service is designed to reduce the number of chargebacks from those who did make purchases but claim otherwise.  The service is offered on a subscription basis and may be designed to blend in with one’s overall payment system.  The efficacy of these services is not as of yet entirely clear.  However, if one does a large volume of business and find the subscription reasonable, it may be worth further investigation.

Chargeback Advocates

In today’s specialized economy, there seem to be professionals dedicated to helping one with any aspect of business.  The chargeback arena is not an exception.  Many firms have developed offering chargeback advocacy services.  These groups profess to be able to handle retrieval requests, fight chargebacks and to help merchant’s improve their strategies for dealing with chargebacks while isolating particular risks to which the merchant is exposed.

If a merchant runs a large-volume business and finds chargebacks are simply too time-consuming an issue with which to deal, outsourcing the process may be in order.  One must make sure do sufficient “due diligence” in order to ascertain a firm’s experience talents and expected results.