Payment Installments...what about Fraud or failure to pay?

[drieck]

Hello...i have read all Shopify provides and nothing mentions Fraud or what happens when someone stops paying or doesn't continue to pay.  1) Fraud:  Someone orders with payment plans and then states never received order.  How is this process handled?...or fraud credit card was used for the order?  2) What happens when someone doesn't pay or stops paying prior to full payment...how is this resolved?...are we on the hook, loose product and payment....how is handled?  Why do you charge 5% fee and put all the risk on a business already successfully working with Shopify?....any additional info on this would be helpful and should have been provided prior to Shopify automatically making this available to my customers and forcing me to physically take it out as an option so I have time to evaluate this program...I certainly don't feel I should be part of a test market or guinea pig with my business funds at stake. DR, cDe

[Trevor]

@drieck 

Thank you for your feedback about Shop Pay Installments. I have passed that up to our products team for further review. 

1. Chargebacks are handled between Affirm, the buyer, and you. If a buyer files a dispute, Affirm will contact you directly. You and the customer will have 15 days to submit evidence so Affirm can determine who they favour in the dispute. If Affirm resolves the dispute in favour of the buyer, they will refund the disputed amount to them — but there is no additional charge to you for losing a chargeback. 
   
2. If a buyer chooses to stop paying their installments, then that would be between Affirm and the buyer. Failure to pay the installment could result in the buyer no longer being eligible for Shop Pay installments. 

There is no additional risk to you, the store owner for using Shop Pay Installments outside of the standard risk of a chargeback dispute.