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Old 10-02-2002, 01:04 PM  
Apollo
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Join Date: Sep 2002
Location: Canada
Posts: 433
Quote:
Originally posted by 49thParallel
Does nobody see the reason for this type of action....VISA, as a corporation must protect itself against the chargebacks, refunds, and general mistrust that the consumer must harbor against the sleazy tactics of most "big corporation" adult sites.
Why does visa need to protect itself against the chargebacks? It's the processors (and ultimately the merchants) that take it in the rear with a chargeback...visa still makes money on the deal....just not as much as they'd like to. A processor get's billed for the initial transaction, then when a chargeback occurs Visa gets the money back from the processor and charges an additional fee. Then to help ease the swelling the processors repeat the process to the merchant. If a processor has too high of a chargeback ratio...Visa smacks them with a much larger fee as well.

I'm kind of two sided on this issue....I am happy this will help weed out some of the bad boys while at the same time I feel there are more ulterior motives behind this. The thing that gets me about this....the big companies who like to fuck around with people *won't* be affected like this....it may not be *as* easy as before but it's not going to be hard to get around it.
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