there are many payment processors.... , which are more favourable for merchants
paypal already has a vey bad reputation about charge backs ,
what about charge back policy of storm pay and other payment processors .....?
who is the best in this respect ?

I have never had a charge back with PayPal since having an account in 2002. We have had a few with 2Checkout but not for about a year now. We keep on top of orders and suspicious ones are cancelled/void right away.

I would recommend manually looking over each order and cancelling anything that doesnt look right.

manually looking will eliminate many suspicious orders , but do you think looking every order manually is possible especailly if u r selling domain or hosting packages with instant setup like things ?

u said u never heard charge back of paypal , then i suggest search this forum there , u may found hundreds of thread regarding this ....

I know others have had charge backs. What I said was that "I have never had a charge back with PayPal since having an account in 2002". I know it happens but not with me yet.

It is possible to manually check each order. It's not a lenghty process... just look at some key indicators like IP matching the country, matching the address of the domain registered to that of the account created.

With instant activation, you just need to have someone check and cancel right away when the user signs up. If you do not have someone to do that then it might be best to not have instant activation to protect your self from fraud orders.

The question is not really the chargeback policies but what you, as the merchant, can do to prevent chargebacks.

Paypal and others provide some scrubbing, but you have to scrub the transaction as well

The question is not really the chargeback policies but what you, as the merchant, can do to prevent chargebacks.

Paypal and others provide some scrubbing, but you have to scrub the transaction as well
yes u r right , and i think this is the dificult part :)

IF you are doing instant setup you are going to become a targer for fraud, if you are getting so many orders you can not manually verify then you should be making enough money to be able to hire someone who can be used as a dedicated order verification employee.

There are a lot of great tools to limit your exposure to chargebacks.

Order verification including automated (or manual) phone verification calls, IP/GEO/BIN-based scrubbing, a common sense review of orders including the domain name, results of other validations performed, etc. and you can dramatically limit the # of chargebacks that you'll receive as a merchant.

Always be proactive when it comes to chargebacks. Instant signups are definitely riskier but can be handled safely if you have enough validation processes in place and someone who is very proactive watching over the orders.

That being said, it also comes down to the price points and type of services you are offering. Some are more prone to fraud than others.

how can automated phone verification calls be setuped ;
what is IP/GEO/BIN-based scrubbing .

Hello,

I understand what you are going on about But there is not much you can do about it really

Regard's

how can automated phone verification calls be setuped ;
what is IP/GEO/BIN-based scrubbing .There are companies - like Varilogix that you can check out.

IP scrubbing is basically when you look at the IP address. Let's say the IP is Dallas, Texas but yet you get the order and it is being shipped to Los Angeles, California. And maybe the billing address is in Miami, Florida. You would think twice about actually selling this customer.

BIN scrubbing would be where you would asking them for the issuing bank on their credit card. And then you would verify it.

guess you should start using MoneyBookers, they have no charge back

if this is the case then y not every one use them ?

What merchant account do you have? If it's US account then you will get one set of suggestions, if non-US then it would be another.

A lot depends on your customer base. If it mostly US customers I would simply use Verified by Visa/MasterCardSecureCode with fraudscrubbing from services like MaxMind. This combination is a proven technique that will keep your CB ratio at average of 0.5%. If you can provide more details about your business and customer base I could definitely suggest you something.

(BTW, BIN verification is useless nowadays. Because of those huge bank merges during 2004-2005 I guess nobody has up to date BIN database and as a result you will lose sales. E.g. customer enters bank name on his card as BofA, but old BIN database reads it as MBNA which results in high fraud score and possibly declined transaction. I would not suggest relying on BIN verification).

You can always call

Visa, call 1-800-847-2750, press 2, then enter the credit card number.

Mastercard, call 1-800-622-7747, press 1, press 2, enter the credit card number, press 1, press 1.

To get the BIN. I would say that nothing is useless in protecting your merchant account and money.

Let me share a little secret here regarding BINs. The thing is that NOBODY except of certain people in certain banks have a complete up to date list of BINs and there is no way they will share it with anyone, including antifraud services that really really need it at most.

A number of years ago I donated a very good list of BINs (over 2megs in size file) to one of the major fraudscrub services in the country and they admited that my list was one of the most completed they ever seen. What they did not know is where I got this file. This file was downloaded from one of the fraudster bulletin boards where it was sitting up in the open for a short perios of time. I was glad to see this board shut down a long time ago but the fact stays. If somebody wants to find a right BIN to bypass your antifraud system, they will find it. But if you have an outdated BIN file, this most likely will result in lost sales because your fraudscrub will issue a BIN mismatch and unless you decide to manually verify this order, it can go to your declines. Thus using BINs is a great order screening tool IF YOU HAVE UP TO DATE file. If you don't, I suggest using other techniques.

I am not suggesting to rely on it, or anything. I am only suggesting to consider it if more scrubbing is needed and consider it a point. There are many techniques used and you can rely on some and use some as a point based system

I am sorry you misunderstood me.