Credit card chargeback - any retailer penalty?
Credit card chargeback - any retailer penalty?
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Discussion

CAPP0

Original Poster:

20,233 posts

220 months

Saturday 28th November 2020
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As above. Had someone keep promising me a refund which never materialised so I started a chargeback claim via my card. Just wondered whether the retailer cops for anything if they have a chargeback against them, or whether they're never going to refund voluntarily as it makes no difference to them?

anonymous-user

71 months

Saturday 28th November 2020
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There's an admin cost and a black mark against them with the merchant services provider. Most retailers like to avoid chargebacks!

CAPP0

Original Poster:

20,233 posts

220 months

Sunday 29th November 2020
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Thanks, that's what I expected.

Sevenon

159 posts

65 months

Monday 30th November 2020
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Retailer will typically be charged £15-25 per chargeback. Too many would mean they lose their ability to take card payments and would struggle to get another merchant account facility in the future, or face much higher processing fees.

CAPP0

Original Poster:

20,233 posts

220 months

Monday 30th November 2020
quotequote all
I’m now in the ridiculous position that, having given the retailer several opportunities to refund, advising that I would start the chargeback process if they didn’t (with a reasonable deadline which passed), the credit card company credited me last week, and the retailer went ahead and refunded me today. So now I have to call the card people tomorrow to unpick that.

The retailer has a .co.uk website and phone number, and an address, (and I thus believed I was dealing with a UK company) but everything is responded to and fulfilled from Texas (apparently).

They’re the sort of organisation who started off offering me £10 off (of a £175 purchase), then £20, then more, and it eventually went up to £60 “and maybe you can keep it and use it elsewhere”. Er no, because it’s of no use to me, it doesn’t do what you say it does. They’ve refunded without requesting that it’s returned to them so they must know it’s a useless product.

jonamv8

3,233 posts

183 months

Tuesday 1st December 2020
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CAPP0 said:
I’m now in the ridiculous position that, having given the retailer several opportunities to refund, advising that I would start the chargeback process if they didn’t (with a reasonable deadline which passed), the credit card company credited me last week, and the retailer went ahead and refunded me today. So now I have to call the card people tomorrow to unpick that.

The retailer has a .co.uk website and phone number, and an address, (and I thus believed I was dealing with a UK company) but everything is responded to and fulfilled from Texas (apparently).

They’re the sort of organisation who started off offering me £10 off (of a £175 purchase), then £20, then more, and it eventually went up to £60 “and maybe you can keep it and use it elsewhere”. Er no, because it’s of no use to me, it doesn’t do what you say it does. They’ve refunded without requesting that it’s returned to them so they must know it’s a useless product.
Wouldn’t spend one minute more on it, let either/both unpick it for you