Recurring Payments: Reducing Fraud Risk for Clean Subscription Revenue
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Recurring Payments: Reducing Fraud Risk for Clean Subscription Revenue
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In this episode of True Fraud, host Pablo Torres dives deep into the world of recurring payments and subscription models. He explores the convenience of subscription-based payments and the reduced risk of merchant initiated transactions (MITs).
However, although this business model has its’ upsides, Pablo explains the challenges that can occur for your business and the snowball effect of chargebacks or customer complaints when subscription business don't manage key aspects of their business.
Key topics include:
- Defining recurring payments and how they differ from one-time payments.
- The importance of distinguishing between customer-initiated transactions (CITs) and merchant-initiated transactions (MITs).
- Strategies for mitigating fraud risk in recurring payment systems.
- The potential for increased chargebacks and disputes, especially with unclear subscription models.
- The impact of clear descriptors on preventing fraud and chargebacks.
Resources & Links:
Learn more about Reach: https://www.withreach.com/
Find more cross-border ecommerce knowledge https://www.withreach.com/network
🎧 Tune in now and follow True Fraud for more expert takes on financial security.
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