Did you get a credit card decline, and then get charged anyway?

Did you get a credit card decline (over a wrong address usually) and then see the charge show up anyway?  When a credit card comes back declined - over say the billing address not matching - the credit card company places a hold on the money.  If you get multiple declines, there will be a hold placed each time.


The 'hold' is not a real charge - it will only show as a pending charge, and then it will vanish in a few business days.  We only see the decline, we never get the money from a decline.  Since we never have possession of the money, there is nothing that we can do.


Why is this happening?  Up until a few months ago, fraudulent orders were few and far between.  We just thought that backpacks and towel wraps don't have a lot of value on the black market.  Then suddenly the floodgates opened, and we started getting orders from stolen credit cards right and left.  I guess the good news is when you get tired of your item, perhaps it is still worth a lot of money!


Credit card companies make it sound like fraud is no big deal because you don't don't get stuck with the bill.  And that is true.  The credit card company also does not get stuck with the bill, they make the merchant pay for it.  This is a large part of why credit card fraud is so rampant, it is not actually costing them anything.


We would go out of business if we filled the fraudulent orders, and then got hit for the money on top of it.


Our only option at the moment is to decline orders where the billing address is not a 'match'.  If I was in charge of the system, I would still call an address that was off by a single letter a match (since either the credit card fraudster has your billing address, or he doesn't).  But alas, it is either perfect match, or it is 'no match' and that results in a decline.


Particularly with foreign orders, we recommend paying with Paypal.  You can still use a credit card, and they are much better about taking payments.  I guess it helps that they are the upstarts and are still trying to win your business.


We are sorry for the trouble, and are always trying to make your experience better.

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