Forums: Discussions for entrepreneurs and small business.

I don`t know if anyone has run into this before or has any advice.  Here`s what happened.  I run an internet business.  I accept credit card payments and use an address verification system to protect against fraud.  Last month I received a chargeback notice from my merchant bank saying a customer was disputing the charge.  I disputed the chargeback and provided proof of positive address ID, order fulfillment and delivery acceptance from UPS.  The customer still maintains they did not make the order.  Through some investigating on my own I found out that the order was made by a son using his dad`s credit card and now his dad won`t pay.  My merchant bank says as long as the card holder maintains that he did not make the order Visa will not pay the charge and I am basically out of luck.  The order is for less than $100, so I`m not super upset about the money.  It`s mostly the principal of the thing.  This guy is stealing, he ordered the product and now isn`t paying because of a technicality.  Is there anything I can do?  Can you claim fraud on a credit card that isn`t yours?

Hi Nicolea,

I did have that problem once. It was disputed, and I was not too happy. But, Lo and Behold!!!...the funds were put back in my account months later.  I received a letter stating the credit card company said the charge was no longer being disputed.  So, it might work out for you.  I`m sure the credit card company takes some sort of action, and does some investigating, when you have provided them with the documentation. Give them some time.:)

Absolutely, contact the Dad. If he is not paying he is not entitled to the product.

~Roland