Chargeback Costs Explained

If you sell online, you’re probably familiar with #chargebacks.

You might think these disputes are just a cost of doing business. But that cost is probably more than you think. That’s because the actual cost goes beyond just that refunded amount. Losses can also include the cost of the merchandise since your customer is unlikely to return it.

Then there are the chargeback fees. Your bank is probably charging you between $20 and $100 per incident. Don’t believe us? Check your statement! You'll also lose administrative costs, interchange fees, shipping costs, and advertising expenses each time a customer disputes a charge.
That's not to mention the consequences of your efforts to prevent chargebacks.

Once you add it all up, you’ll find that each chargeback is costing you more than three times the cost of the original transaction.

Here are five quick strategies to help you reduce chargeback costs:
1. Make it easy for customers to reach you and resolve issues before they escalate.
2. Be transparent with your policies to avoid unpleasant surprises.
3. Make sure your billing descriptors are clear and recognizable.
4. Keep excellent records and respond quickly to false disputes.
5. Contact your bank and ask to negotiate lower chargeback fees.

You can also simply contact us. Chargebacks911 specializes in helping businesses manage and reduce chargeback costs.

For more information on chargeback costs, check out our blog here: https://chargebacks911.com/chargeback...

#chargebackfees #chargebackcosts #chargebacksexplained