4 ms·
Indeed, but it's odd that creditcard companies are so hard on merchants. Surely they could just offer some program where they hold payments in escrow until the
by convery 5y ago
Indeed, but it's odd that creditcard companies are so hard on merchants. Surely they could just offer some program where they hold payments in escrow until the transaction is final and just subtract chargebacks from the escrow account as necessary.
- InvaderFizz 5y agoThey already do this. Credit card transactions don't "finalize" for 180 days. Until they do, Visa can reach into the merchant's bank account and claw back the funds plus a fee.
- floatingatoll 5y agoSome people who buy porn will lie to other people in their life and open chargebacks if they’re found out, and dealing with those people is a nightmare because they’re lying and they get loud and angry and litigious to try to sell the lie so they don’t lose social standing and/or in-person sex. Something like Apple Pay, that is rooted in a biometric/pin-verified payment (low fraud) rather than “enter your card number manually” (high fraud) would be a godsend for the industry, since it would detect the lie in the fraudulent chargebacks as described above. Human beings in many world cultures are such a huge pain when it comes admitting and openly talking about paying for sex and sex-tangential things, that I can understand and grudgingly concede that higher processing fees are necessary. I do not know if they need to be 25%, but they do definitely need to be higher than for other industries.