For issuing banks and merchants, the cheer of the holiday shopping spree is always followed by a spike in cardholder disputes.
Whether driven by confusing billing descriptors or friendly fraud, cardholders will flood an issuer’s call centre throughout January, costing each issuer hundreds of thousands in processing, investigation and call centre expenses.
One way of reducing cardholder disputes is for issuing banks and merchants to share more information, and a new service is enabling them to do exactly that.
The Los Angeles based payment protection and management solutions provider, Verifi, recently introduced the new service – Order Insight – and will be showcasing the solution at the Retail Risk – Los Angeles conference on 22nd February.
To register for the conference, which is complimentary for retailers and end users, go to http://www.retailrisk.com/los-angeles-booking/
The new service builds on Verifi’s Cardholder Dispute Resolution Network (CDRN), which helps issuing banks to include merchants at the outset of a dispute.
Order Insight is an additional chargeback and fraud mitigation service that enables issuing banks to share transaction details––such as merchant’s name and contact information, date of purchase, name of device used in the order process and item or service descriptions (size, colour, style)––between cardholders, merchants and issuers.
By providing this data directly into the issuing bank’s online or mobile applications, a questionable charge can usually be resolved without a phone call, the company says.
It quotes the following metrics for the first and second quarters of 2017.
Net Success Rate: 89%
Total Disputes Handled: Just over 1 million
Merchants Included: 15,225
Average Resolution Time: 22.7 hours
Resolved Disputes: 270,009
Resolved Dispute Amount: $13.8 million