Psyko you can't tell me that the fines completely cover the banks' processing costs of a chargeback and that there is nothing left over for them.
Your post does make sense and refutes many of the statements I made in that long-ass Visa thread, but I just cannot see these chargeback fees costing the bank as much as they cost us. I believe they make money off of it.
The letter-writing isn't implemented by default down here. In the case of my visa debit getting snatched twice in the past year, the first time there were multiple charges and all I had to do was click a little dispute button in my bank's online interface and specify that I didn't make the charge. The bank got it taken care of.
The second time around, I contacted the various merchants and got them to put the card # into a negative database and issue a refund - and after I told the bank that, *then* they requested a written letter (one letter to cover all of the fraudulent transactions made, not one letter each), but still cancelled my card at my request (I had to request it, they wanted to leave it running).
If they changed it to each dispute being a hand-written letter (one per each "fraudulent" charge made) every time it happened, *and* a new card being issued each time, you'd see that friendly fraud go down.
Why not do this? Are they afraid they might lose a whole 1k lazy customers? Having hundreds of thousands of fraudulent transactions that - as you claim - "cost them money", is better?
See what I'm saying? (I hope so, cuz I think I just confused myself, LOL)
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