Originally Posted by
billdokes
There are reasons Credit Card Companies charge 28% interest, this is one of them.
Interest is charged by issuing banks (who also take liability for card present fraud and 3ds approved fraud) service not rendered chargebacks are the responsibility of the acquiring bank and/or the merchant. Many acquiring banks will place reserves on funds for business they deem to be a credit risk.
I used to work for one of the largest issuing and acquiring banks in the world and also a prominent acquiring neobank managing dispute product management, engineering and data science.