thread Re: Dispute Question in Archived Discussions (Read Only)

Dispute Question

Mollysmusthaves — Fri, 25 Nov 2022 06:48:49 GMT

Why can’t we fight a dispute if a chip reader isn’t used? I used the original square device that I plug into my phone and swipe the card with. A man bought two items from me. The next month he disputed the charge and won because I didn’t have a chip reader. It was almost a $60 sale.

Re: Dispute Question

JK_Fiber_Art — Fri, 25 Nov 2022 14:19:18 GMT

Hi Mollysmusthaves,

Just a suggestion here - you really need to consider switching to a chip reader. Swiping chip cards will work to complete a transaction. However, swiping a customer’s EMV (chip card) immediately puts your business at risk. Note, most cards now have chips. If a customer disputes a transaction where a chip card was swiped, your business will be held liable. The chargeback will be decided in favor of the customer regardless of the facts and documentation. This is not something that's defined by Square - it's the credit card companies, Mastercard, Visa, etc. This info explains a bit more.

Re: Dispute Question

JTPets — Fri, 25 Nov 2022 15:11:18 GMT

In Canada we have a near 100% chip only system now, swipes will decline almost everywhere except a few rare instances

Re: Dispute Question

Mollysmusthaves — Sat, 26 Nov 2022 23:50:29 GMT

I have a chip reader. This happened to me before the chip readers were even available to us through square. But every once in a while I have a card that doesn’t have a chip so I still have to use it. I have people sign their name though for those.
Thank you!