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Hosting Discussion > Operating a Web Hosting Business > Billing and Accounting > How do you deal with PayPal chargebacks?
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  Post #46 (permalink)   02-07-2017, 04:11 AM
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In a first place you should avoid dealing with the clients that want to make a chargeback.
Don't advertise you business on some shady sites, it's a higher chance of people with hacked accounts, stolen cc or fraudsters.
When somebody buys a hosting, check their info. If something doesn't add up, ask for an ID proof. You can disable service before chargeback.
Also don't be lazy to call paypal.
 
 
 


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  Post #47 (permalink)   02-07-2017, 04:28 AM
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Quote:
Originally Posted by ikalf View Post
In a first place you should avoid dealing with the clients that want to make a chargeback.
Don't advertise you business on some shady sites, it's a higher chance of people with hacked accounts, stolen cc or fraudsters.
When somebody buys a hosting, check their info. If something doesn't add up, ask for an ID proof. You can disable service before chargeback.
Also don't be lazy to call paypal.
It is not so much where you advertise, but it is all down to what systems you have in place when orders are made.

we have maxmind and fraudrecord, we also dont provide instant setups and orders remain pending until we manually approve them, but even people can pass these and still make Paypal claims or card chargebacks.
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  Post #48 (permalink)   02-07-2017, 05:07 AM
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Well if you advertise your hosting on some black-hat forums and sites there is going to be much more shady clients then advertising on sites like HD.
 
 
 


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  Post #49 (permalink)   02-07-2017, 05:19 AM
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Well if you advertise your hosting on some black-hat forums and sites there is going to be much more shady clients then advertising on sites like HD.
But the trick is having the systems in place to stop them from signing up/orderings services in the first place as if they cant order anything then less chance of you getting claims or chargebacks
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  Post #50 (permalink)   02-07-2017, 05:33 AM
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sure, but like you said even with maxmind and fraudrecord in place this can be passed.

there is a lot of factors.
 
 
 


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  Post #51 (permalink)   02-07-2017, 05:46 AM
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sure, but like you said even with maxmind and fraudrecord in place this can be passed.

there is a lot of factors.
very few fraudsters will ever pass if you have the right system in place, as if they fail then fraudsters will never question why it failed as they will just move on hoping to find a host that does not have all the security.

You will get genuine clients that if they come across an issue they will make a PP claim etc. before contacting you.

just because they make a claim or a chargeback does not make they a fraudster, but any client making such a claim should be dealt with by removing them as a customer and even make a report on fraudrecord.
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  Post #52 (permalink)   02-23-2017, 05:56 PM
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Well for one, never accept payments from unverified accounts. In my experience, 99% of them are fake.
Other than that, scammers are pretty lame and usually keep usually the same IP, email address or writing style. It is pretty easy to detect one. Also an anti-fraud system in place goes a long way.
In case all this fails, just put all the data in paypal and let them decide. You most certainly do not have any other option.
 
 
 


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  Post #53 (permalink)   04-03-2017, 12:23 AM
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We usually refund if it's within a reasonable time frame. It makes the customer happy and we don't have to waste time. If it happens more than once from the same source we make an effort to stop it.
 
 
 
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