> they're have been several months where 1 chargeback brought us near the 1% threshold With volume so low, it's probably not a real threshold for you. Your pro

> they're have been several months where 1 chargeback brought us near the 1% threshold With volume so low, it's probably not a real threshold for you. Your processor is looking out for their ratio, since they're answerable to Visa/MC for it. If they've been around a while, they're probably very lenient with such small customers. Your little chargeback won't make a dent in their own rate, so better to keep you around until you might grow to a larger, more profitable business for them. If you still get >1% at a higher volume, THEN you're an actual problem for them. > we've gotten notices to dispute the chargeback that arrived in the mail after the due date I have too. It sucks but isn't unusual. You really need to get chargeback notices over the web or fax. MSPs that don't offer a web portal will always be able to fax you the notices, so sign up for one of the online fax services and give them your number. You'll be notified when they get the notice instead of days later when it makes it through the postal system. > chances are the customer will initiate a chargeback That was my point. The chargeback limits exist, in part, to discourage business models that create widespread dissatisfaction over the payments. In this instance, they would need to find a better way to deter or handle people messing up the beds than charging a fee to a card on file.