Monica Eaton Says Compelling Evidence is Key for Merchants to Defend Themselves
When porch pirates strike, many customers can turn to chargebacks as a way to recover their funds. In a new feature for Digital Commerce 360, Chargebacks911 COO Monica Eaton says that merchants can help insulate themselves against losses.
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Chargebacks are meant to protect cardholders against merchant abuse and criminal fraud. This protection doesn’t extend to losses at the point of delivery, like criminals swiping goods off of the customer’s porch. Customers often file chargebacks anyway, though, and merchants end up footing the bill.
“Even if the customer genuinely believes the claim, it would still be a case of friendly fraud, which refers to a chargeback filed without a valid reason,” Monica says. “According to our data, friendly fraud represents between 60-80% of all chargebacks.”
Fortunately, merchants do have some recourse. When faced with friendly fraud, they can protect themselves by compiling a body of evidence, then engaging the chargeback through the representment process.
