Automated handling of Stripe chargebacks and fraud warnings

Across a few ecommerce and SaaS businesses, I've found that chargebacks are often winnable, but that the time it takes to dispute them makes it often not worth it.

I've automated the following steps, and am curious how other merchants handle chargebacks after they've been filed.

  1. Automatically refunding Early Fraud Warnings, ~90% of which turn into chargebacks costing an additional $15 chargeback fee every time. My current business is SaaS, but I've used the same process for physical items just adjusting the algorithm to account for the cost of the product.

  2. Immediately reaching out to customers who dispute to clear up any disputes due to unrecognized charges. Here we use a form email that is automatically populated with their order information to clarify the charges and sent when a dispute or Early Fraud Warning is received.

  3. Automatically gathering evidence (IP access data, product information, CVC/ZIP verification, and receipts from WooCommerce/Shopify) into a document. If the customer hasn't withdrawn the dispute by the dispute deadline, this document is submitted to the customer's bank automatically.

Together these steps have significantly decreased our chargebacks and saved many hours of looking into customers and preparing documentation.

I'm thinking of building this process into a web interface so other merchants can connect their Stripe accounts and use it.

Would you be interested in a tool that automates these processes, or other processes you use to prevent/respond to disputes?

submitted by /u/daekappa
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