Hi @OMGsquar. First, I’m sorry to hear that you’ve learned one of the hardest realities of credit card acceptance — disputes are almost always resolved in favor of the bank’s customer (and your customer). Even with overwhelming proof, card-issuing banks put their fingers on the scale to give their customer’s advantages which ends up leaving businesses bearing the brunt of mistakes and even outright fraud. Unfortunately, given current laws and regulations, Square (and other processors) must abide by the card-issuing bank’s decision. There is no appeal. Various regulations/laws have been proposed to fix this, but they haven’t gotten much traction.
Now, if you are looking for a partial solution that should help you, I can suggest one. Square has something called Risk Manager (dashboard > Payments > Risk Manager). It is especially helpful in the world of online store payments because you can set rules, limits, and even verification requirements for all online card transactions. Square will flag transactions that don’t meet your requirements, which you can review and reject/accept as you wish. You can also set up AVS rules that will cause the card-issuing bank to further verify a customer’s right to use a card online before approving the sale, and reject it if the customer can’t do that to their satisfaction.
Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)
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