Originally Posted by
Trollkiller
.......If I sell you an item for $100 and it gets charged back for fraud, I am out that $100 and the $50 wholesale and the $10 related costs. You are asking me to trust you with $160 of my money.
Now the funny part about the whole CC ID thing is most of the fraudulent charges are made by the actual cardholder. Either they don't want to pay it or they don't want to admit they bought what they did. You would be amazed how many "not my signature" people regain their memory when you tell Visa "I looked at his ID and he is on video". Rule number one when buying embarrassing items .... pay cash........
Minor point - If you get stiffed on a $100 sale, you are out $60 in cost incurred in the merchandise and other costs and you are out $40 in profit. Not $160. That is counting the $60 in costs twice.
As to fraudulent charges by the cardholder, that is why the tow truck companies that take your car away that you had parked for "just a minute" do not take credit cards. It seems that those charges always get challenged by the cardholders.