Online Dating Merchant Above 1% Chargebacks

An online dating merchant experienced a chargeback rate over 1% for their first few months of doing business and was on the verge of entering card brand monitoring programs. This merchant was dealing directly with the sponsor bank and not receiving much communication, much less assistance from the relevant ISO, nor their gateway.

After being put in touch with Corepay, they asked the Corepay team to take a look at their recent processing history and offer any feedback. After Corepay conducted a detailed review and analysis of their processing statements, and data for the prior three months, Corepay discovered significant issues in the chargeback reporting from the ISO. The data was not current, and it was completely inaccurate. Therefore, Corepay implemented the automatic daily pulling of chargebacks via API, along with a robust suite of unused antifraud tools through the use of a new payment gateway.

This resulted in a sustained chargeback rate below 1% and significantly improved processing fees with the existing bank. In addition, Corepay suggested the use of cutting edge-chargeback representment tools to offset losses associated with a lot of the chargebacks. Now, the merchant has not only eliminated the constant worry of entering a monitoring program but has also been able to negotiate volume increases for their merchant account.