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The idea is behind chargebacks is good, but the implementation is somewhat lacking. An example, my wife has an online shop, and (unsuprisingly) uses Paypal. A c

by rytis 14y ago

The idea is behind chargebacks is good, but the implementation is somewhat lacking. An example, my wife has an online shop, and (unsuprisingly) uses Paypal. A company bought an item from her. The transaction went smoothly, they paid, she shipped the item. Unfortunately, the card details they used to pay with got stolen. So they chargedback a number of transactions that has been made with this card. One of them was my wife's. Here's what my wife had to do: dispute chargeback with Paypal; get in touch with the buyer and ask the buyer to inform their bank that this transaction was legit. Then wait 6 months. Eventually she got paid back, bar the PAypal "processing fee", which wasn't a lot, but since the item was pretty cheap, it ate all the profit she made. We tried to get this paid back, but to no avail. Now, it's good that the buyer charged back accidentally and acknowledged it. But there are lots of who do this for profit, and with the broken banking/paypal customer (as in 'merchant') support system, have fun getting your money back. This is why chargebacks might be a problem.

Nursie 14y ago
Again, they are a problem for sellers. More people are sellers these days, but we gear our consumer law and financial devices to advantage buyers. Buyers are more often the people with more to lose, and are certainly more numerous. Buyers have been ripped off throughout history and we have learned, slowly, to make things easier for them. Economically, if you don't build in buyer protection, they may stay away entirely.
- rytis 14y ago
  You see, I'm not saying that buyer protection is bad, but the payment provider companies should offer the same level of support to merchants. Now for a buyer (legit or fraudulent) it only takes couple of clicks to get their money back. And it is virtually impossible for a seller to dispute this.
  - Nursie 14y ago
    I understand that must be frustrating as a seller, and perhaps the balance has shifted too far, but consumer history has taught us that having this relationship tilted in favour of the buyer is a good thing.

by rytis 14y ago

Nursie 14y ago

Again, they are a problem for sellers. More people are sellers these days, but we gear our consumer law and financial devices to advantage buyers. Buyers are more often the people with more to lose, and are certainly more numerous. Buyers have been ripped off throughout history and we have learned, slowly, to make things easier for them. Economically, if you don't build in buyer protection, they may stay away entirely.

rytis 14y ago
You see, I'm not saying that buyer protection is bad, but the payment provider companies should offer the same level of support to merchants. Now for a buyer (legit or fraudulent) it only takes couple of clicks to get their money back. And it is virtually impossible for a seller to dispute this.
- Nursie 14y ago
  I understand that must be frustrating as a seller, and perhaps the balance has shifted too far, but consumer history has taught us that having this relationship tilted in favour of the buyer is a good thing.