|
|
|
|
|
|
by sabslaurent
3390 days ago
|
|
|
Of course, many do in fact. Despite that, Paypal saw my high-dispute rate and worked out a plan where they will have a set reserve of $5000 + a 10% rolling reserve in order to mitigate risk and work with me. They then called me on 3 separate occasions to ask questions and see how the business was going, not once did they say my dispute rate is too high for them or that I'm at risk of losing my account. They just randomly gave me the hammer one day and use automated emails to circumvent any request I may have. They are inconsistent, rude, lying and simply provide 0 customer service while holding my money simply because their "system" said so! |
|
|
No mainstream cc merchant account bank and payment processor will accept 1%+ chargebacks.
That type of account is categorized as "high risk" and you have to resort to processors that specialize in that area (e.g. adult, gambling, etc). One example says they can handle up to 3% chargebacks.[1] They will definitely make you pay for that privilege in multiple ways: higher setup fees, higher monthly service fees, higher transaction fees, higher reserve, longer hold times before releasing funds to you, etc.
I'm frankly astounded that PayPal was willing to let a 2% chargeback go on as long as you said they did. All my previous reading about PayPal's contentious relationship with VISA/MC network & member banks was that they do not want to be associated with "high risk" accounts.
[1] https://www.emerchantbroker.com/blog/need-a-payment-processo...