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ChapterTitle
Education

outsourcing their chargeback management to a third- gather as much relevant evidence as possible to support
party specialist, resulting in a 23 percent average decrease them in challenging chargebacks. The Field Report reveals
in friendly fraud costs when compared to their in- that 18 percent of merchants who manage chargebacks in-
house efforts. With integrated artificial intelligence and house said COVID-19 was their highest business concern
machine learning technology, this new breed of solutions for 2021, compared to just 11 percent of those using
helps merchants and FIs remove the manual work of third-party chargeback management. This suggests that
investigating chargebacks by automating alerts and merchants supported by professional expertise are far
notifications, and warning merchants about pending more confident about the post-COVID marketplace.
disputes. Merchants can then take pre-emptive action,
such as issuing refunds, which are not as financially or More collaboration and data sharing between merchants,
reputationally damaging as a chargeback would be. FIs and payment schemes means greater combined power
to stop chargebacks at the source. It's in everyone's interests
Ultimately, dedicated solutions from expert providers to harness that power to detect, prevent and fight disputes
enable chargeback management processes to become more at the earliest opportunity. With greater collaboration and
streamlined, and safeguard more revenues, freeing up the aided by dynamic third-party solutions using cutting-
merchant to focus more on their customers. edge technology, merchants get much more valuable
insight into customer behavior, dispute sources, and
Sharing data can stop the representments, which all adds up to reduced chargeback
post-COVID chargeback tide rates and stronger cost bases. And that's good news for the
whole industry.
There's a clear link between card-not-present (CNP)
transactions and chargeback abuse, because CNP Monica Eaton-Cardone is the COO and cofounder of Chargebacks911, a
transactions make it more difficult to verify cardholders' provider of comprehensive risk management solutions to the payment
identities, and to disprove cardholders' dispute claims. In processing industry. It is a division of Global Risk Technologies, which
a post-COVID world, and the rise in ecommerce volumes manages more than 200 million transactions worldwide each month.
showing no sign of slowing, merchants should use every Chargebacks911 is headquartered in Tampa Bay, Fla., and specializes in
available tool to pinpoint the source of disputes and chargeback mitigation and dynamic loss prevention.