Unfortunately, the Card Associations view their real "customer" as being the cardholder so most of the initiatives and rules have been slanted in their favor, historically.
The good news is that some balance may be on the horizon for merchants. Verified by Visa, MasterCard SecureCode and other technologies are starting to provide more protection to merchants against certain types of chargebacks.
The one irony though that I've always seen is that all of the TV commercials promote how "cardholders are protected against unauthorized" use and they almost make it appear that their card is so special because it protects the cardholder against potentially huge losses if their card is compromised or stolen.
Of course, the funny thing is that cardholders have *always* been able to charge back and dispute transactions. The only difference is that most cards now have $0 liability policies for cardholders instead of $50.
It is the merchants that take losses when a credit card is stolen or compromised --- not the individual cardholders. It is just an inconvenience for them.
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I couldn't agree with you more. How many issuing creditcard banks do you know of that just arbitrarily distribute cards. I have yet to go to an NFL/MLB game where there isn't a booth giving away cards to anyone who signs up. Its ridiculous......
The only stipulation for someown to recieve a card is that their credit check is OK. Basically if you've never had a credit card and you apply for that free beach towel you get a card in the mail. This represents an age group between 17-24. College kids....
I can't tell you how many of these kids have our merchandise right now. When they find out that a Visa and MC has a zero cardholder liability clause...what's the first thing they do with that $5,000 balance from the TV they just bought.....they charge it back....and it takes them around 5 minutes on the phone with some CSR.
Thank goodness for VbV and SecureCode. Its a good thing to know that the Card companies are addressing this.....
Yep I'm looking for another payment processor with decent fraud screening.
2CO have been good to me in the past but I haven't used them in a while.
Do they allow you to input your prices in other supported currencies yet? I do all my business in GBP (especially as the £/$ exchange rate isn't too hot at the moment) and that is a deal breaker for me if I can't sell natively in GBP.