Password must be 8-15 alphanumeric characters with these requirements
- Minimum one number (0-9)
- Minimum lowercase letter (a-z)
- Minimum one uppercase letter (A-Z)
- Minimum one special character "#?!@$%^&*-+<=>"
- Example password 99azTR?!@
A chargeback can be defined as a monetary claim to a virtual POS or merchant made by the financial institution that issued a debit or credit card. Chargebacks can be fraudulent or legitimate. That is to say, an individual who has made a purchase with his credit or debit card can request a chargeback claiming that the transaction was fraudulent. The aim of this request in not to pay for the purchase made with his card. The client can claim before the issuer of his credit card, that he did not make the purchase or he can argue any minimum defect of the product or service purchased with the objective of receiving the money back. The situation when the customer claims that he has not made the purchase can be avoided by using 3D Secure anti-fraud security protocol for the virtual POS, recording the telephone conversation with the client or having the customer sign a contract where he gives up any right for claiming chargeback for purchased product or service. If the client presents a chargeback arguing the smallest defect without justification, the virtual POS could defend its position with photos and videos of the product sold. Financial institutions are well aware of fraudulent chargebacks and they know exactly what kind of client they have in their entity. It will depend on the entity to identify the client and the objective of the claim.
A chargebacks is considered legitimate when the company or individual, owner of a virtual POS, did not send the purchased product to his client or the product that was sent has nothing to do with the one that has been bought by the client. In this case the chargebacks presented to the virtual POS and the payment gateway will be irrevocable because the customer who made the purchase has all the supporting documents to receive the money back to his card.
The unjustified increase of chargebacks in your virtual POS may cause its closure since the financial institution will consider your virtual POS as a high-risk business due to the high rate of claims. The brands of cards such as Visa, MasterCard, Amex etc. consider the threshold of high risk when there is more than 1% of chargebacks from all sales made by the commerce. For example, a virtual POS has made 100 sales and has more than one chargebacks claimed for not sending the product or for fraudulent use of your customer's card. Depending on the financial institution, the credit history and the nature of the business this threshold may increase a little, but as a general rule the financial institution will proceed with the closure of virtual POS.
Accepting card payments is the weakest means of payment for a company but it is the mean of payment that generates more sales. Preventing chargebacks made by your customers to your virtual POS will increase your sales and will reduce the problems with your financial institution.