Customer Service Responsibilities for Avoiding Chargebacks

The customer service department of every organization has responsibilities and a role to play in the chargeback avoidance efforts of every business. Consider implementing the following suggestions into your customer service procedures.

• Delayed Delivery. If the merchandise or service to be provided to the customer will be delayed, the merchant should inform the customer in writing of the delay and the new expected delivery or service date.
  
• Item Out of Stock. If the customer has ordered merchandise that is out of stock or no longer available, the merchant should inform the customer in writing. If the merchandise is out of stock, the merchant should let the customer know when it will be delivered. If the item is no longer available, offer the option of either purchasing a similar item or canceling the transaction. Merchants should never substitute another item unless the customer agrees to accept it.
  
• Disclosing Refund, Return, or Service Cancellation Policies. If the merchant has policies regarding merchandise returns, refunds, or service cancellation, these policies must be disclosed to the customer at the time of the transaction. The policies should be pre-printed on all sales receipts. If that is not possible, the merchant should write or stamp the refund or return policy information on the sales receipt near the customer signature line before the customer signs (the information must be clearly legible on all copies of the sales receipt). Failure to disclose the refund and return policies at the time of a transaction could result in a dispute should the customer return the merchandise.