Comment by ghaff
3 years ago
>reducing friction helps drive more legitimate business.
A very real example in retail. I can minimize the possibility that I'll be hit with fraudulent returns. Require a receipt, short window, store credit only, must be in like new condition with all packaging, etc. (Or just sell everything on an all sales are final basis.) Different stores do many of these things to a greater or lesser degree on at least some merchandise. But you'd probably better be offering really good prices if you do.
And with all that effort all that friction, you still get hit with chargebacks no matter your policy for returns.
Yeah, the system is set up so the payment processors benefit from fraud.