Preventing chargebacks

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If you accept online payments by credit cards, chargebacks might occur. It is important to maintain a low chargeback rate not only because chargebacks are bad for your business, but also because some payment providers can block your account if you receive many chargebacks.

You can prevent chargebacks by following the recommendations below:

  • Closely review and investigate high-value or suspicious orders before fulfilling them.
  • Respond quickly to customers’ inquiries, especially if they are about payment processing and shipping.
  • Make sure you set reasonable expectations for your customers regarding to when they can expect the delivery. Provide a shipment tracking number if possible.
  • Keep your customers updated on the order processing. Make sure you send tracking information for orders that need to be shipped.
  • Add your contact information (including phone number and address) to your site and store and make sure it is easy to find.
  • Add your store policy (including your return policy) to your site and make it easy to find.
You might want to have your customers agree to the store policy before placing an order. See how you can set it up.
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