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Whenever I can I use SEPA payment for subscriptions (which it looks like OVH accepts, most debitcards are SEPA in Europa), because it allows you to withdraw wit

Whenever I can I use SEPA payment for subscriptions (which it looks like OVH accepts, most debitcards are SEPA in Europa), because it allows you to withdraw within 2 months directly from your bank application directly, no questions asked. (SEPA is EU based) Much better then credit cards and paypal, where you have to open a request for refund etc. You only have this in the EU, but it's the best option. I also had the flip side where customers would withdraw a few months in payment because the couldn't make their mortgage. Which we ended up resolving in a nice way. Maybe someone can recommend CC companies that tend to side on the Consumer side, American Express maybe?

CharlesW 4y ago
From a preventative POV, my thought was to use privacy.com with vendors. You can lock “cards” to a specific vendor, set monthly limits, etc.
vel0city 4y ago
SEPA sounds like a nice way to move cash around, don't get me wrong. But personally given the chance to use a credit card versus an even-smoother-than-US debit transaction, I'd still probably choose a credit card from a decent issuer. The biggest reason is because then its never my money getting tied up in any kind of investigation for any amount of time. While with SEPA/debit, if there's potentially a dispute its your money on the line. So for this example, I would have never lost the 1,200€, because their charge wouldn't have been trying to take my money. I would still have all my money, just a bit less of a line of credit on potentially multiple lines of credit available to me. And that's before things like extra warranties, cash back benefits, etc. which I realize are a bit more complicated. I've never used SEPA, but I'm curious how it would have played out here. The OP would have disputed the charge, what recourse would OVH have here? Would they be able to assert they did deliver the product and thus should be paid? Not saying I agree with OVH on this, but that appears that's OVH's position allegedly. In your instance, you had customers refund legitimate transactions. What recourse would you have in that? Would you be able to dispute their refund and thus tie up their funds, or are you just out those funds until lawyers get involved?
- jiggywiggy 4y ago
  Requesting a SEPA withdrawal you just get the money back instantly. They would have to use other ways like send reminder invoice and then threaten legal action. So it puts the burden of proof on the company instead of consumer. By the way requesting a SEPA transaction at the moment is as easy as submitting a IBAN (bank account) nr. and that's enough to deduct money from that account via for instance a stripe account (or directly request it to a bank). That's probably why it's also very easy to refund it as a customer. In case of complaints they will check you, but it's based upon good faith. Not really sure why this works, but it does. Officialy you need a mandate, but there is no electronic format, a paper and signature is also valid, so the banks in Europe just accept every SEPA request. But then customers have the power to refund and block on-demand. There is even a risk of a fine if a consumer complains a withdrawal was made without proper authorization.

CharlesW 4y ago

From a preventative POV, my thought was to use privacy.com with vendors. You can lock “cards” to a specific vendor, set monthly limits, etc.

vel0city 4y ago

SEPA sounds like a nice way to move cash around, don't get me wrong. But personally given the chance to use a credit card versus an even-smoother-than-US debit transaction, I'd still probably choose a credit card from a decent issuer. The biggest reason is because then its never my money getting tied up in any kind of investigation for any amount of time. While with SEPA/debit, if there's potentially a dispute its your money on the line. So for this example, I would have never lost the 1,200€, because their charge wouldn't have been trying to take my money. I would still have all my money, just a bit less of a line of credit on potentially multiple lines of credit available to me. And that's before things like extra warranties, cash back benefits, etc. which I realize are a bit more complicated. I've never used SEPA, but I'm curious how it would have played out here. The OP would have disputed the charge, what recourse would OVH have here? Would they be able to assert they did deliver the product and thus should be paid? Not saying I agree with OVH on this, but that appears that's OVH's position allegedly. In your instance, you had customers refund legitimate transactions. What recourse would you have in that? Would you be able to dispute their refund and thus tie up their funds, or are you just out those funds until lawyers get involved?

jiggywiggy 4y ago
Requesting a SEPA withdrawal you just get the money back instantly. They would have to use other ways like send reminder invoice and then threaten legal action. So it puts the burden of proof on the company instead of consumer. By the way requesting a SEPA transaction at the moment is as easy as submitting a IBAN (bank account) nr. and that's enough to deduct money from that account via for instance a stripe account (or directly request it to a bank). That's probably why it's also very easy to refund it as a customer. In case of complaints they will check you, but it's based upon good faith. Not really sure why this works, but it does. Officialy you need a mandate, but there is no electronic format, a paper and signature is also valid, so the banks in Europe just accept every SEPA request. But then customers have the power to refund and block on-demand. There is even a risk of a fine if a consumer complains a withdrawal was made without proper authorization.