Quote:
Originally posted by tony404
I got to tell you I was thinking about this and I dont believe it . I think if the cc companies didnt make money from charge backs. They wouldnt happen, they would of come up with a digital signature everyone could use to protect themselves along time ago. Like the verified by visa cant be used on adult sites if they are making no money on chargebacks and adult websites are charge back heaven. Adult websites would of been the first to use Verified by Visa and it would of been manditory for them to use it. This is based on if it was such a loss for them, good business would say protect yourself but they are not doing that so they are making money on cb's. lol
|
if you can think of a way for a bank to make money from a chargeback, i will disprove it. banks lose money and time on chargebacks. we're encouraged to do all we can to prevent the customer from following through with the chargeback.
even with a digital signature, a customer can chargeback. it's their legal right to. and when the customer does a chargeback, the burden of proof falls on the merchant.
it's been said many times here by many people that the whole credit card business model and concept is not suited to the internet. even a digital signature can be forged. even a VbV PIN can be stolen. it's even easier than stealing a debit card PIN. all the theif has to do is install a program like Back Orifice or Netbus and use it to monitor your keystrokes. or they install a little piece of hardware to monitor your keystrokes. or they set up a fake page offering something at a real good price and then they use a fake VbV window.
by doing business as an internet merchant, you should be aware of the risks of the business. and if you don't like the risks, don't get into the business. the same applies to any business. it's like bitching at someone else that stuff gets shoplifted from your store all the time.