Small Business With a Large Charge Back and no recourse on Shopify

isobelfin

I have a small business on shopify and I have just have a customer do a chargeback after me doing a partial refund of $2000 and calculating the costs of shipping before paying the final amount as she refused delivery so in this instance i thought it fair to charge this as it is in my refund policy that shipping will be a cost to the consumer if refunded (often i do not do this but as she totally changed her mind I was not going to let this one off) however whilst i was doing this she asked her bank to do a chargeback, she has already received $2000 but they refunded her the full amount of $2891 and now I am out of pocket of $2000 and the shipping and the charges so this has cost me about $2200 dollars and I have sent the ARNs of the refunds and I cannot believe that this can even occur or be possible, this seems like fraud and i feel as a basic shopfy customer i am unsure if I am speaking to a person or AI and I will just close my store rather than allow the bank to take this money out of my account as I have not had this amount in my account yet,  I have contacted the customer to tell her that I will take further action if she does not notify her bank via the small claims court, but I am UK based and she is US based.  I hate not being able to get my bank to talk to her bank and have this middle man of shopify who seem like a computer even thought they say i am talking to a real person. Can anyone advise me on how to move forward? Or have they had this happen before, this is what they call friendly fraud I believe

born_again

What was the reason for the chargeback?

As there is no chargeback for change of mind.


Banks do not talk to banks on chargebacks. It is all done through Visa/Mastercard system. So you should be able to reject the chargeback. But you only have a limited time to do that.

Given they are in America, taking customer to court is not really a viable option.

isobelfin

The reason was non delivery, but she refused delivery then asked for a refund then as it was a partial refund whilst i worked out the costs for delivery she then started a charge back, as it is Shopify who are the middle man I cannot personally reject the chargeback and I should ask them to reject it, I have given the ARN numbers of my $2000 usd payments to shopify to send to her bank

isobelfin

But this is very helpful as she changed her mind and I have now told Shopify to implicitly tell her bank that this is what happened not that the delivery had failed and I have shown conversations with being stated by her, I will cancel the order is what she said after she did not want to pay import duty.

born_again

If she refused delivery, then you can reject on that grounds. That it was delivered & they refused delivery..
Better hope you are in time to do this, given there is only 45 days to reject from their submission.

isobelfin

I am in time but the bank listened to her initially and it said 'failed delivery' I have forwarded email conversations of her saying 'i want to cancel the order' I hope they listen to this and read it, canceling the order is very different to failed delivery, she would not give her SEN number to them or pay the taxes so it was not delivered and she asked for a refund and when this partial refund was given she then filed a chrageback for the full amount.  Rather shocking!

isobelfin

I am just shocked that the retailer is unable to communicate directly with her bank or a representative of the bank in circumstances such as this and I need to go via shopify.  This seems as though I cannot properly represent myself in a telephone conversation or an email, this system is open to abuse!