cancelled scam order

[OPTAYLORS]

I cancelled an order that was obviously a scam was that a mistake?  I am beginning that was the wrong "answer".  Of course my account was debited.  Is there anyway to fix it?  Any help with the scammers would be greatly appreciated.  I did up my security.

Leslie - OP Taylor's

[mysticcoffee]

Why have you decided refunding is a bad idea?

I am in a similar situation and was just going to sit down to refund everything, but thought I'd check on my post from yesterday. I posted about receiving a series of scam orders just yesterday, asking advice on how to proceed and my post was removed! No idea why! I'm pretty sure one or two people are making purchases on my web site and asking to have them shipped to freight forwarding services. I had called Square to see if they could flag the transactions as suspicious or if they could do anything at all and according to the rep I spoke with, the answer is no. Only if/when the credit card owners recognize the suspicious transactions on their accounts and report them - will anyone do anything about it. And THEN if I get enough reports of transactions on my seller account MY account will be marked "Under Review" at which point I was told that people can still buy product on my web site, but transfers to my bank account will stop! That does not make me happy. When I posted yesterday if I could pursue it directly with Visa or Mastercard, somebody chimed in that they would probably give me the same answer as Square. Their hands are tied unless the credit card owners make a claim. Seems odd this happens JUST when Square and other cc processors institute a policy to not return fees for refunds. Did some more research on my situation and it turns out this started earlier than I realized. A total of $1048 dollars has been ordered, about $250-worth I shipped out before I realized there was an issue. Looks like I'm going to have to eat that and the fees. I think I'm going to refund it all because I don't want my account to go "Under Review". That would be bad. 

[OPTAYLORS]

I started thinking that we would never get our money and I would of given money back.  So, I would lose merchandise and the price of purchase.

I tightened up my "rules" in Risk Manager.  Risk Manager will send you an email when an order/credit card is suspicious.

It is a real pain the way a credit card dispute is filed Square.  There is no way to state my case.  I just received another dispute today.  I am out close to $500 at this point.  My last dispute when they asked how I verified the cardholder.  My response:

It was an online order and I thought that was Square/Weebly job.  If you hear anything, please keep me posted.  I will do the same

[mysticcoffee]

I went ahead and cancelled my fraudulent orders that I hadn't already shipped out, and also refunded the orders that I had already shipped. For me it was $250 that had shipped. $1000 in total. One of the shipped orders was disputed and it is pretty clear that all of the transactions I had identified are fraudulent. I'm not going to wait for all the disputes to roll in. I know I'm losing product and the money plus the fees, but for me it's important to not lose the revenue stream from Square. There were enough fraudulent transactions that I think would qualify my account to go "under review" if enough of those transactions were disputed. If Square puts your account "under review" then they stop the automatic transfers to your bank account. I can't afford that because ALL of my sales are online. I have no brick and mortar. I really wish there was a way for merchants like us to report these transactions. We're on the front lines. We know our customers and our business. I was frustrated when I spoke to a Square rep  because they basically told be to do nothing except use Risk Manager. I did tighten up rules in Risk Manager, but I don't think it's enough. There was a definite pattern to the transactions that the rules don't exist for in RM. 

[OPTAYLORS]

I completely agree.  I received the same response from Square/Weebly.  Basically they were ZERO help.  It is very maddening.  I tightened up as well but I feel Risk Manager is a terrible "security" system

[mysticcoffee]

So I got my 2nd dispute even after refunding the transactions. What happens is they cancel the refund and let the dispute run its course. The money gets returned to the cardholder probably slower than if they just let the refund go, so whatever. I'm still out some fees and product. Scammers are the worst! I'm going to shop around to see if there are any processors with a better deal for merchants who are the victims of scammers, but I suspect they're all pretty much the same? 

[OPTAYLORS]

I am extremely dissatisfied with the Square/Weebly team.  It is impossible to talk to a real person and get a straight answer.  Thank you so much for your help.  If you find any processors that are better, please let me know.  We do have a brick and mortar, however, I all do is the online.  I am the 4th "store" that we have.