Customer Blacklisting for Creating Chargebacks - GoFuckYourself.com

Eric · 03-04-2010, 04:40 PM

Interesting read here:

http://www.walletpop.com/blog/2010/0...-to-blacklist/

Wizzo · 03-04-2010, 04:47 PM

We used to put something to that effect on our joinpages.

marketsmart · 03-04-2010, 04:49 PM

full of problems and if they are US based, expect a lawsuit...

.

VGeorgie · 03-04-2010, 05:09 PM

Don't understand why it would lead to lawsuits assuming the merchant has a positive reputation - that is, isn't known for deceptive practices themselves. CCBill does this routinely for their scrub. Check clearing companies have been doing it for years. Just once write a check that bounces, and if it's reported your check may be declined at many retailers who use the same verification service.

marketsmart · 03-04-2010, 05:15 PM

Quote:

Originally Posted by VGeorgie

Don't understand why it would lead to lawsuits assuming the merchant has a positive reputation - that is, isn't known for deceptive practices themselves. CCBill does this routinely for their scrub. Check clearing companies have been doing it for years. Just once write a check that bounces, and if it's reported your check may be declined at many retailers who use the same verification service.

doing it internally is one thing. doing it externally is another..

what are the controls? what if someone had a valid c/b.. the issues with this are far reaching..

.

rowan · 03-04-2010, 05:45 PM

Quote:

Originally Posted by VGeorgie

Don't understand why it would lead to lawsuits assuming the merchant has a positive reputation - that is, isn't known for deceptive practices themselves. CCBill does this routinely for their scrub. Check clearing companies have been doing it for years. Just once write a check that bounces, and if it's reported your check may be declined at many retailers who use the same verification service.

Do they charge an arbitrary fee to have the listing removed?

NemesisEnforcer · 03-04-2010, 10:19 PM

Quote:

Originally Posted by marketsmart

doing it internally is one thing. doing it externally is another..

what are the controls? what if someone had a valid c/b.. the issues with this are far reaching..

.

Doesn't the 3 credit bureaus do something like this externally.

Intrinsic · 03-04-2010, 10:25 PM

Whats blacklisted? The credit card #? Seems easy to change that up without having to fucking pay $99...

marketsmart · 03-04-2010, 10:29 PM

Quote:

Originally Posted by NemesisEnforcer

Doesn't the 3 credit bureaus do something like this externally.

they are regulated by the FCRA and a few other laws..

this service is not regulated and makes you pay to get off the list..

too many ways to get sued imho...

.

BIGTYMER · 03-04-2010, 10:41 PM

I think its a great service!

DirtyJs · 03-04-2010, 10:50 PM

I could be incorrect, but I believe in netbilling if you ban a transaction and mark it as fraud, its netbilling wide. Like I said, I could be incorrect, but I heard this before.

SmokeyTheBear · 03-04-2010, 10:52 PM

I have seen a program recently say a customer will be liable for $15,000 in damages if he files a false chargeback lol

BIGTYMER · 03-04-2010, 10:55 PM

Lots of processors keep a blacklist and you're added to it if you do a chargeback or request a refund.

rowan · 03-05-2010, 07:07 AM

Quote:

Originally Posted by BIGTYMER

Lots of processors keep a blacklist and you're added to it if you do a chargeback or request a refund.

Yep, but this is a global blacklist maintained by a third party company whose business model is to charge the consumer a removal fee.

Barefootsies · 03-05-2010, 07:14 AM

This is already done to some degree.

I know for a fact CCB and Verotel will add that person's name, CC, and email to a blacklist if you charge back. Whether they share that list with others, I do not know. I have not heard on what Zombaio does yet. Although, I historically do not get a lot of charge backs on my membership sites.

I do not think I even average 1 a month over YEARS.

TheDoc · 03-05-2010, 07:37 AM

I could see this being a huge privacy issue.

Or, you might as well provide a half crap service then use these guys. If someone CB's from you or anyone in the system, but they end up buying from you at any point - you can upsell the removal service and make money that way - and you might make your sale as well.

That's nasty...

VGeorgie · 03-05-2010, 10:46 AM

Quote:

Originally Posted by marketsmart

doing it internally is one thing. doing it externally is another..

It's still internal. Member sites have signed up to use same verification service. You won't be blacklisted unless you try to join a member site. Check service companies work exactly the same way. And some actually do have a "clearing" charge which is paid/shared to the merchant that suffered the loss.

Assuming they base the scrub on the card # alone, if a card was stolen and charged back, then that CC # will not be used again. The same customer will be issued a new card and it will be accepted.

The only other way a customer would get on the list unfairly if they were forced to charge back following some kind of merchant misconduct, but I doubt these sites will be members of such a service. And if they are, any verification service will consider the number of chargebacks to a merchant to determine if their claims are reputable.

If you use CCBill or Epoch or any other third-party biller these anti-fraud measures are already in place, and I don't see them being sued by anybody over it.

03-04-2010, 04:40 PM	#1
Eric Confirmed User Industry Role: Join Date: Dec 2000 Location: The Helm! Posts: 8,818	Customer Blacklisting for Creating Chargebacks Interesting read here: http://www.walletpop.com/blog/2010/0...-to-blacklist/ __________________ No One

03-04-2010, 04:47 PM	#2
Wizzo 2011 GFY Hall of Fame! Industry Role: Join Date: Nov 2000 Location: Back in Texas! Posts: 15,224	We used to put something to that effect on our joinpages. __________________ Looking for Opportunity!

03-04-2010, 10:52 PM	#12
SmokeyTheBear ►SouthOfHeaven Join Date: Jun 2004 Location: PlanetEarth MyBoardRank: GerbilMaster My-Penis-Size: extralarge MyWeapon: Computer Posts: 28,609	I have seen a program recently say a customer will be liable for $15,000 in damages if he files a false chargeback lol __________________ hatisblack at yahoo.com

03-05-2010, 07:14 AM	#15
Barefootsies Choice is an Illusion Industry Role: Join Date: Feb 2005 Location: Land of Obama Posts: 42,635	This is already done to some degree. I know for a fact CCB and Verotel will add that person's name, CC, and email to a blacklist if you charge back. Whether they share that list with others, I do not know. I have not heard on what Zombaio does yet. Although, I historically do not get a lot of charge backs on my membership sites. I do not think I even average 1 a month over YEARS. __________________ Should You Email Your Members? Link1 \| Link2 \| Link3 Enough Said. "Would you rather live like a king for a year or like a prince forever?"

03-05-2010, 07:37 AM	#16
TheDoc Too lazy to set a custom title Industry Role: Join Date: Jul 2001 Location: Currently Incognito Posts: 13,827	I could see this being a huge privacy issue. Or, you might as well provide a half crap service then use these guys. If someone CB's from you or anyone in the system, but they end up buying from you at any point - you can upsell the removal service and make money that way - and you might make your sale as well. That's nasty... __________________ ~TheDoc - ICQ7765825 It's all disambiguation

03-04-2010, 04:49 PM	#3
marketsmart HOMICIDAL TROLL KILLER Industry Role: Join Date: Dec 2004 Location: Sunnybrook Institution for the Criminally Insane Posts: 20,419	full of problems and if they are US based, expect a lawsuit... .

03-04-2010, 05:09 PM	#4
VGeorgie Confirmed User Join Date: Nov 2008 Posts: 359	Don't understand why it would lead to lawsuits assuming the merchant has a positive reputation - that is, isn't known for deceptive practices themselves. CCBill does this routinely for their scrub. Check clearing companies have been doing it for years. Just once write a check that bounces, and if it's reported your check may be declined at many retailers who use the same verification service.

03-04-2010, 10:25 PM	#8
Intrinsic Confirmed User Industry Role: Join Date: Jun 2008 Posts: 1,589	Whats blacklisted? The credit card #? Seems easy to change that up without having to fucking pay $99...

03-04-2010, 10:41 PM	#10
BIGTYMER Junior Achiever Industry Role: Join Date: Nov 2004 Location: Walled Garden Posts: 17,066	I think its a great service!

03-04-2010, 10:50 PM	#11
DirtyJs So Fucking Banned Join Date: Sep 2006 Location: Illinois Posts: 307	I could be incorrect, but I believe in netbilling if you ban a transaction and mark it as fraud, its netbilling wide. Like I said, I could be incorrect, but I heard this before.

03-04-2010, 10:55 PM	#13
BIGTYMER Junior Achiever Industry Role: Join Date: Nov 2004 Location: Walled Garden Posts: 17,066	Lots of processors keep a blacklist and you're added to it if you do a chargeback or request a refund.