2 ms·
>> Fortunately, AMEX heavily sides with consumers against merchants No. AMEX heavily sides with AMEX against merchants. AMEX, via chargeback penalties, turns
by sandworm101 5y ago
>> Fortunately, AMEX heavily sides with consumers against merchants
No. AMEX heavily sides with AMEX against merchants. AMEX, via chargeback penalties, turns a net profit every time a customer complaint is filed. They aren't being nice out of the goodness of their hearts. They are leveraging their market dominance to extract penalty money from users. Just be happy that we customers are on the winning side ... for now.
- Bluecobra 5y agoThis is true for Visa/Mastercard as well. I used to work in merchant processing and sat near the chargeback department and would frequently overhear conversations with irate merchants having to pay a $25 chargeback fee regardless of the outcome. This was almost 20 years ago so not sure if that fee has been lowered or got higher.
- rootsudo 5y agoHigher, and more strikes per merchant would mean the merchant is drop. $25 is the minimum. 1% used to be the minimum for what was acceptable per monthly volume, but now it's much less, I've seen guidelines on risky categories go to .5%.