I wonder if publishing a NO-refund policy will prevent the chargeback?
As a business, we'll show it where the customers can see it -- on the website and include in emails invoices and sales receipts. By taking these actions, we demonstrate that we have taken measures so customers are well informed that we do NOT offer refunds after purchases have been made.
Is that enough to avoid a chargeback?
Now ofcourse, before anyone says it, we do not intend to cheat the customer with this policy in place, its just that we're basically a service provider who collects payment on behalf of the client from the customer (who paid the charge). Although we verify client details (phone, address etc..) and run occasional checks but just in case the client is unable to deliver the product/service for some reason, we don't want to be liable for the chargeback and the associated costs.
If not this, is there any other better way to deal with the situation? What do you do? Just absorb the charge and ban the client? Thats obvious, but what if you have more than one such client?
Edited to add:
What if we:
- Inform the user a few days before the charge (so they can't claim it was surprise).
- Charge at the END of the month when the customer has already consumed the service (so they can't possibly argue it was "not as described").
- Provide option to instantly unsubscribe prorated (so they can't argue that they couldn't opt out when they wanted)
... I hope then we can win most chargebacks?