Member Avatar for ep2002

Hi there,

I'm in the market for a good collection agency that will collect on chargebacks for online purchases where the customer committed fraud.

Any suggestions?

Thanks


Michelle

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Quick summary anchored to the existing thread: for online chargebacks that look like fraud, start by fighting the dispute through your processor (representment) and only consider a collection agency afterward. Processors have formal timelines and evidence requirements, and prevention (3‑D Secure, AVS/CVC checks, clear billing descriptors and contactability) reduces the need to dispute at all — this is the normal best practice and is covered in processor dispute guides. Stripe: How disputes work. (docs.stripe.com)

Before you hand an account to collections, check your merchant agreement and card‑network rules: many processor/brand contracts restrict or forbid trying to re‑bill or collect directly from the cardholder after a chargeback (see sample merchant regs). Also remember consumer collections are governed by FDCPA protections, so hire a licensed, FDCPA‑compliant firm when you pursue consumer debts. Sample AmEx merchant regulations. [FTC: Debt collection basics].(https://consumer.ftc.gov/debt-collection) (docplayer.net)

Money and reputation matter: collection agencies typically work on contingency and often take a large percentage of recovered funds, so sending small chargebacks to collections can be uneconomic and can harm customer relations. Shop agencies by vertical (ecommerce/B2B), ask for performance metrics, and compare contingency structures before placing accounts. [How to choose a collection agency (fees & tradeoffs)].(https://www.businessnewsdaily.com/7811-choosing-a-collection-agency.html) (businessnewsdaily.com)

If you do contest or refer an account, assemble a concise evidence packet: transaction/auth codes, masked PAN and authorization, AVS/CVC results, order confirmation, shipping/tracking with POD/signature, full email/chat logs (with headers/timestamps), IP/device logs, TOS/checkout acceptance records, and any refund attempts — labeled and mapped to the issuer reason code. Never include full CVV or raw magnetic‑stripe/track data; follow PCI guidance and mask sensitive fields. Ask a prospective agency how they handle communications, FDCPA compliance and state licensing before signing. PCI Security Standards Council - merchant resources. (pcisecuritystandards.org)

Notes tied to the thread: already moved forward with an agency; shared a vendor link; ’s point about preventing fraud and limiting credit exposure is exactly the right long‑term focus.

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Member Avatar for lostboy

1] In business for 35 years+.
2] Licensed, bonded and insured in all 50 states.
3] 24/7 online account submission and daily updated reporting.
4] Compliance with all collections (FDCPA), privacy (HIPAA etc.) and all other laws.



Member Avatar for ep2002

Sorry, too late.

I had to get my online researcher to search for me since no one responded & I just started with a new agency this past week.

Thanks just the same :)


Michelle

1] In business for 35 years+.
2] Licensed, bonded and insured in all 50 states.
3] 24/7 online account submission and daily updated reporting.
4] Compliance with all collections (FDCPA), privacy (HIPAA etc.) and all other laws.



Member Avatar for etechsupport

IMO, it is no point to contact a collection agency unless a large sum of amount is lying in market for recovery. However it is better to prevent fraud and better to stick with own TOS instead of giving your customers more credit limit.

Member Avatar for nzd

:)

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