Death and taxes may be inevitable, but the experts at Fullbay’s Diesel Connect conference Tuesday in Phoenix say if that statement ever gets amended, chargebacks could be added to that list.
Every business gets chargebacks. Fullbay’s team says eliminating them entirely is likely impossible, but with proper language added to invoices and credit card authorization forms, consistency around how documentation is presented and, when possible, driving customers to pay through specific portals, shops can reduce instances in which chargebacks are initiated — and even win some chargeback disputes.
“It’s going to happen,” says Cody Yanchak, senior payments consultant-partner and launch optimization, Worldpay. “You’re going to experience them … you need to do your best to bulletproof your [credit card] authorization.”
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Fullbay Head of Payments Strategy Mary Cory says the best thing shops can do immediately to reduce chargebacks initiated against their business is to update all invoice and payment documentation to include business terms and conditions, such as refund, return and cancellation policies.
Cory says having a sign on your window that says “no refunds” doesn’t help when an invoice is paid by a fleet manager who never sets foot in your shop. She also says in those situations, if you’re letting drivers sign CC authorization forms that don’t have their name on it, that has to stop immediately. Customers may prefer to have their drivers sign invoices to get repairs underway immediately and reduce uptime, but that action also gives them an out if they ask for a chargeback at a later date.
“If somebody signs for a charge and their name isn’t the name on the card, you will lose that chargeback every time,” she says.
