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Old 04-10-2009, 01:25 PM
accounts3@labcom accounts3@labcom is offline
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Join Date: Apr 2009
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Default Credit Card Charge Denial

Hi, I'm new to this but I need some opinions on how to collect a charge back from a customer.
I explain myself :- a customer ( bearer of a credit card ) spent quite a lot of money in one of our outlets in June of last year. All of his credit card vouchers were duly signed ( by himself we suppose ). However, in August we received a charge back from our bank with the explanation 'No valid Authorization' from the issuing bank. My concern is how could a card holder possibly know that the authorization was invalid and therefore request his bank to deny the charges. The end result is we now have a charge back of slighly over USD 2,100.00 and very slim hopes of recovering this amount since the cardholder lives in a different country. From what is gathered, the cardholder has a habit of indulging in this type of practice in other places as well.


Last edited by accounts3@labcom; 04-10-2009 at 01:53 PM.
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Old 04-10-2009, 02:10 PM
scammerslammer scammerslammer is offline
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Default Credit card charge back.

Hi, Welcome to 419legal. Re the credit card . As a merchant, the first thing to do would be to read your Merchant agreement and see it there is anything that you can use to recover your money? This could vary with your location.

Quote:
'No valid Authorization' from the issuing bank
I would ask them to clarify this so that you know what they are talking about.

If you phoned in and got a clearance for any amount above your merchant limit, then you should be in the clear?

I would gather ALL the information and then see your bank about it, or failing this being a successful outcome go to the ombudsman or equivalent .

Your bank will probably not volunteer any refund , so you may have to go in and bat on your own.

If the card was stolen or a forgery, you will have to lodge a report to the police as a crime could have been committed? Good luck .

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