I was with CardService Intl for about 2 years...Chargeback rate under 1% ,in fact the only chargebacks i EVER had were from customers who didnt recognize the transaction(sold items on sites like pricegrabber,amazon,ebay,etc so some customers didnt expect the charge to appear on there card as my company) which were ALL resolved within 7 business days.
Several months ago, I decided to invest in search engine advertising for my website. The turnover was great, sales increased 50%+. received better discounts from my supplier...business was good. I eventually became a little overwhelmed with orders. About a 1 week delay for delivery rather than 2-3 days. Received a few chargebacks (3 or 4 out of 50 sales)for non-receipt, but was able to dispute with tracking info, and apologize to customer.
Placed a larger than normal order with my supplier, so I would have items in stock and avoid chargebacks,etc. Supplier delivered(takes about a week for delivery), Unfortunatly it was the wrong items!! So now im 1 week late on my regular orders,and have to send back the package to my supplier for Exchange which takes another week,and then another week to get back to me.Total 3 weeks late +delivery time which ends up being a month to about 60-80 customers.
About 30 chargebacks came in all at once, While the chargebacks were pouring in i was receiving more and more orders(items were in stock), however i noticed, my batches werent being processed, and no funds were going into my bank acct.
When i contacted Cardservices they said my account had been suspended and All FUNDS were being held Indefinitely...I no longer had access to my gateway, which meant I can not issue REFUNDS, Authorize charges,etc,etc.
So now i have 30+ chargebacks that im disputing + 50or so new customers whose funds are being held...Should I ship merchandise out and risk not receiving the funds for 180days or whenever "Indefinitely" is up??? or just refund the customers?
I decided to refund customers, but since i no longer have access to my gateway I can not do this. Contacted cardservice, and asked if they could issue refunds; the agent told me "NO, you would have to instruct your customers to file chargebacks". Ok,fair enough, I did just that, only to get a phone call saying my account is NOW TERMINATED due to excessive chargebacks and placed on the TMF List(before all of this I had NO IDEA what the TMF list was and how serious it can be)
My Chargeback ratio during the 2 yrs i was with them was well under 1%, processing 50-100 transactions per month and after all this mess my CB ratio shot up to 6%.
now they are saying I owe them money, but the money I owe them was from chargebacks that were disputed and are currently(for the past 4 months) being "reviewed".
I am fully aware that this is about 99.9% MY FAULT, however I am now finding out it is nearly impossible for me to obtain a merchant account.
I need help!
I need a merchant account, offhsore, in the states,it doesnt matter.
Is anyone aware of ANY merchant accounts that cater to TMF merchants?
I am not HIGH RISK, just a victim of poor judegement and circumstance...
I do not mind higher fees,Rolling reserve or anything like that.
I am just looking for a SAFE/Secure Merchant Account...
Any info / suggestions would be appreciated.
(and yes ive begged and pleaded to be taken off the TMF)