While it's not possible to avoid chargebacks completely, there are a few steps your team can take to limit them in the future. We’ve outlined recommendations below.
Tips to prevent fraud-related chargebacks
- Add a statement to your business page and/or checkout page requiring that guests must present an ID matching the credit card used for purchase. Even if you are not able to physically check every ID, this will act as a deterrent. Bad actors will be less motivated to order from your business if they see this verbiage on your business page. Bad actors may have access to credit card information, but not the physical credit cards or the corresponding government issued identification.
- Reach out to any notable first-time guests that place high-value orders, especially if the booking was made for the same day. Bad actors often place large orders immediately after obtaining stolen credit card information and want to complete the transaction as soon as possible. New legitimate guests will appreciate the warm welcome to your business, but more importantly, calling to confirm details of orders significantly larger than your check average may deter a bad actor from visiting your business.
- Request a signature from guests when they attend their reservation or pick up their order. This may also act as a deterrent to filing a fraud dispute, but if not, our team can use this signature in the evidence that we submit against a fraud dispute. We have found that including a concise written statement directly from the business can significantly increase the chances of a won decision in the business’ favor.
Tips to prevent non-fraud chargebacks
- For dine-in reservations, interact with guests while they’re in-house and address dissatisfaction promptly. Review post-visit feedback and reach out to unhappy guests. About 4% of chargebacks occur because the product did not meet a guest's expectations.
- List your business’ contact info on your public-facing Tock page. This will encourage guests to contact you with any issues and give you the opportunity to address concerns before receiving a chargeback.