Chargeback from POS

AdvisionLLC
Visitor
3 0 0

I have had a chargeback from a customer who purchased at our pop-up (POS) store and claimed that they did not receive the product. How can Shopify justify a chargeback when the customer obviously walks out with the merchandise? You guys need to defend your customers a little better! If a transaction occurs at POS, then it certainly differs from an on-line purchase since the item leaves the store in the customers' possession. . 

Replies 6 (6)

Skye
Shopify Staff
1070 96 191

Hi, @AdvisionLLC 

Thanks for posting your frustrations. They are definitely appreciated.

Please allow me to explain, that Shopify is not involved in the chargeback process. These situations are strictly handled by the banks involved. We have no way of preventing a customer's bank from disputing a charge.

 

Since this order was processed in person, you will simply need to provide the proof of the sale being in person. This should be stated in the order timeline in your Shopify Admin. While we streamline your ability to fight the chargeback, we aren't involved in the decision. 

Skye | Social Care @ Shopify
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bloodyrosebtq
Excursionist
32 1 23

We had this happen to us once. We followed the process to contest the chargeback and were successful in getting the money returned to us. I forget how we got to the contest chargeback process, but when we did, we provided all the transaction information on the order from the Shopify Admin and also from the Shopify POS that showed that the customer used the physical card in store and in person. Just be diligent in filling out the paperwork and you might get the money back.

+++++++++
Bloody Rose Boutique
Austin, TX

Eunice-Soldeli
Not applicable
2 0 0

Now we received the chargeback at POS which is EAT In restaurant and CCTV showed the customers chatting with friends and family. He ordered 2 platters which our staff brought 2 times to the table but this customer claimed not received them at their bank. Shopify approved the chargeback in favour of the customer after we submitted the CCTV image and receipt. How is possible someone ate the food and claimed not received it in the face and then Shopify gave the charge in favour of the customer?

This whole chargeback at POS is nonsense. 

Skye
Shopify Staff
1070 96 191

Hi, @Eunice-Soldeli 

 

That is definitely upsetting that you lost the chargeback. Chargebacks are one of, if not the most, frustrating part of doing business.

 

That being said I do want to clarify that Shopify doesn't provide, or allow chargebacks. This feature is entirely provided by customer banks and credit cards. We can't prevent a customer from contesting a payment with their bank.

 

Additionally, Shopify isn't involved in the chargeback process and only work as a liaison to provide your proof to the bank. The decision is ultimately made by the customer's bank. When a chargeback is approved for POS payments, it's generally a case of a stolen credit card. 

 

One mitigation step you can take is to obtain chargeback insurance. Unfortunately we aren't able to provide a specific provider, but there are many options available if you look through Google.

 

Best of luck!

Skye | Social Care @ Shopify
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Eunice-Soldeli
Not applicable
2 0 0

Hello,

Thank you for clarifying Shopify isn’t the authority who sent the chargeback. 
In this case I couldn’t understand how U.K. bank takes side with the customer whose claim has an obvious discrepancy with our CCTV images and videos. The customer ordered 2 platters which shows on CCTV, delivered by our staffs two different times to the table one by one and 2 platters of food were visible on the table but he claimed only one of the platter not received. If the customer was not happy with food, he should have complained to us about the food, not to the bank telling that not received.

But the chargeback was resolved in customer’s favour. Would it gonna work if we all may go to a restaurant and dine in and say we didn’t receive the food to our banks in the U.K. now?

Skye
Shopify Staff
1070 96 191

Hi, @Eunice-Soldeli 

 

I definitely agree that is an unfortunate situation and would feel the same in your position. However, Shopify can't control the decision made by the bank.

 

Have a great day!

Skye | Social Care @ Shopify
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