Merchant Acquirers, the same challenges that the
card associations have placed on Card Not Present merchants affect
you too. With the recent release of the new High Risk Chargeback
Monitoring Program (HRCMP) from Visa that nearly all continuity
merchants fall into, the stakes have been raised tremendously for
you. Under the HRCMP, merchants that fall into the program are given
no warning or recovery period if their chargebacks go above 1%, and
fines start being assessed immediately on the first month. Gone are
the days when your sole liability was from fraudulent merchants,
and uncovered chargebacks. Now the fines levied under the HRCMP can
become your liability if they are not covered by the merchant. And
depending on how bad the chargebacks are, these fines can dwarf the
other liabilities associated with processing for Card Not Present
merchants. |
