Do you need help with a high chargeback ratio and looking for ways to reduce your chargebacks? Then, meet Verifi chargeback alerts by Visa. In this post, we will explain what you need to know about Verifi alerts and why you should partner with CB-ALERT for your chargeback management.
Merchants who run into chargeback problems not only punish themselves with fees but also run the risk of being added to the Terminated Merchant File list (TMF), which is near impossible to get off of.
Key Takeaways About Verifi Alerts
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- Verifi alerts help with disputes with both fraud and non-fraud reason codes
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- Verifi has a more extensive portfolio of Visa accounts and predominantly U.S. BINs than Ethoca alerts
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- Merchants Can Use both Ethoca And Verifi Alerts to fight chargebacks through CB-ALERT
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- Verifi was founded in 2005 and focuses on fighting chargebacks for e-commerce businesses
Merchants near the .9% chargeback threshold or higher should contact us today to find out how we can help get your chargebacks under control with Verifi and our product, CB-ALERT.
What Are Verifi CDRN Alerts?
Verifi alerts through the Card Dispute Resolution Network are an alert system that lets you know when someone has filed a dispute against your business through their bank.
Verifi alerts help merchants fight disputes by alerting them and allowing them the opportunity to make good on the customer before the dispute becomes a chargeback.
This is one form of chargeback prevention by Verifi, and it can significantly reduce your chargebacks, especially when working with CB-ALERT to analyze the data and further optimize your business to fight fraud.
How Do Verifi Alerts Work?
When a customer is frustrated over a specific transaction and decides to contact their bank to dispute the purchase, Verifi’s CDRN comes into play. Here is the particular flow for exactly how this process works and how it can help your business minimize chargebacks.
1.The customer contacts their bank to dispute a previous transaction they made.
2. Their bank considers the claim and starts the process of initiating a chargeback.
3. Verifi CDRN receives an instant notification that a new dispute was opened against a specific merchant using Verifi CDRN alerts.
4. The merchant is given 72 hours to try and resolve the customer’s issue prior to it becoming a chargeback.
Verifi CDRN alerts freeze the chargeback for 72 hours, giving merchants three days to make good with the customer. This could mean issuing a refund or including a % off for the next purchase.
Should you not find a middle ground with the customer, you can continue fighting the chargeback, especially if you feel like the customer has committed fraud.
While winning a chargeback at this stage is difficult, it can be done if your website and terms of service/chargeback management are adequately optimized.
At CB-ALERT, we will help you fully optimize this to stifle chargebacks when you know there has been fraud.
What Happens If Your Chargebacks Get Out Of Control?
If your chargeback ratio gets over .9%, you face serious consequences that can include higher fees and even account termination.
We recommend merchants that have landed on this page consider implementing Verifi alerts sooner than later, as a terminated merchant account could mean the end of your business.
Benefits Of Verifi Chargeback Alerts
When you have CB-ALERT handle your Verifi CDRN alerts, and you begin to see Verifi refund notifications, you will enjoy the following:
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- Ability to contact the customer and confirm/clarify their issues with your services/products. At this point, you can decide to issue a refund and cut your losses
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- Avoid a chargeback by making good on the customer, ultimately keeping them as a lifelong customer
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- If the case is friendly fraud and you are certain the customer has lied, you will have 72 hours to gather the evidence and present your case
The benefits of Verifi alerts are hard to match as you are not only keeping your business in good standing with your bank/processor but also salvaging a relationship with a potential lifelong customer.
Through CB-ALERT, you can then analyze disputes to prevent further fraud in the future.
How Long Does It Take To Set Verifi Alerts Up?
The time to set up CDRN chargeback alerts depends on several factors, including transaction volume and the merchant’s prior history with alert networks.
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- New business: 45-60 days
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- Merchant hasn’t enrolled in chargeback alert network previously: 20-30 days
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- Merchant has chargeback prevention alert history: Instant
At CB-ALERT, we speed up the process through our relations with Verifi.
How To Apply For Verifi Alerts Via CB-ALERT
To apply for your Verifi CDRN alerts, you will need the following:
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- Company name
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- Registered business address
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- Merchant account descriptor
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- Merchant account number issued by your payment processor
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- Access to your sales system to provide refunds/resolve alerts for you
What Is Order Insight
Order Insight is another Verifi product that connects sellers to issuers to provide customers with seller business and purchase details in real-time at the point of inquiry to clarify confusion and prevent disputes.
CB-ALERT can get you set up with Order Insight as well as Verifi alerts.
What Is RDR
The Visa Rapid Dispute Resolution is currently one of the best tools for fighting chargebacks. It is for Visa cards, and it allows merchants one more step of protection, allowing them to set rules that will automatically refund the customer at the time of the dispute, avoiding a chargeback.
How Much Do Verifi Alerts Cost?
Verifi alerts can vary between $30-$40; however, we can ensure you get the most competitive pricing.
Why Partner With CB-ALERT?
By partnering with CB-ALERT, you will be enrolled in Verifi and or Ethoca alerts and be able to use our tool to help you fight chargebacks. With over two decades of high-risk experience, CB-ALERT can be a significant partner when it comes to growing your business and lowering your chargeback ratio:
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- Alerts in real-time Ethoca and Verifi
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- 24/7 customer service
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- Transparent pricing
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- RDR
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- Gateway/CRM agnostic
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- Order Insight
Please fill out the application below to find out how we can help your business.
Alternatives To Verifi
The main alternative to Verifi chargeback alerts is Ethoca chargeback alerts. These alert systems are effective in fighting fraud and lowering your chargeback ratio.
The Difference Between Verifi Alerts And Ethoca Alerts
The most significant difference between the two is that Verifi gives dispute reason codes for fraud and non-fraud.
Ethoca alerts were created to address criminal fraud; as a result, they don’t provide reason codes for disputes.
Ethoca alerts have better coverage worldwide than Verifi.
As a rule of thumb, we recommend the following:
Merchants should use Verifi alerts when:
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- The majority of your chargebacks aren’t fraud reason codes – products not received, etc
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- Most of your sales are in the US
Use Ethoca plus Verifi when:
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- You receive fraud and non-fraud chargebacks
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- You’re greatly struggling with chargebacks
Wrapping Up
Verifi alerts are a must for merchants struggling with chargebacks. If you’re looking to save money on chargeback fees, take a deep look at your chargebacks and the cause, ultimately growing your business, then fill out the application below.