Card fraud advice required

[Bfc]

My partner runs a small perishable goods business and recently has taken orders over the phone worth around £100 each. Card payment details have accepted by the card machine and the orders have been completed. 2 weeks later the business has received a Merchant Dispute Advice letter, stating the cardholder claims they never participated in the transaction. They Merchants have then have taken the money from my partners bank account. If she wants to dispute it, the fees they charge range between £100 and £500.
The business doesn't and can't afford to have insurance cover, for such events.
Seemingly someone can make a telephone order, using their own card, receive the goods, then deny they made the order.

Is there anyone on here, who can give me advice on avoiding such incidents, or know of methods of avoiding transactions, leading to the fraud.
I've reported it to the police and fair play to them, they're already dealing with the matter.

[ClaretAndJew]

Were the goods delivered to the card holders address and accepted by the card holder?

Is there a way to track incoming calls from their number on the date of the order?

[claret59]

Any dispute is between the card company and the holder of the card. What is meant by 'merchant?' this appears to be a scam. Has your partner had any contact with the card issuer?

[TVC15]

The merchant account is the company providing the business the facility to accept card payments (eg visa)
The contract is between the company and the business and part of that contract will relate to disputes where they retain the right to debit their customers accounts in case of disputes and refund the person making the dispute.

The business can then dispute the dispute and produce evidence what it was a valid transaction.

It’s hard when you are small business who only take a few small transactions as it’s pretty expensive and the costs can be prohibitive.

I’d ring up the merchant and explain your situation and you have proof it was a valid transaction...see what they say and whether there is any leeway because of Covid etc on the dispute charges given this is the only way you could transact....

The police can also look into as you have asked them to as if he has raised a dispute and received the goods as agreed then that is fraud.

[Bfcboyo]

Once you have safely got as much as you can be sure to get rid of the card , unlike the numpty who stole mine from the glove box maxed it out and kept it in his wallet once cancelled. Later to be arrested with it on him.

2 numptys learnt a lesson in this episode and I no longer keep anything valuable in a vehicle.

[Bfc]

Bfcboyo, when I asked for Card Fraud advice, I didn’t mean for someone committing the offence, as you’ve suggested for some reason, but advice for the victim.

C&J, the goods were delivered to a third party, who was aware of the supposed sender, when the goods were delivered . The Tel No trace is good idea. Although a contact Tel No was left by the purchaser, which when checked, was a false one.
TVC15, we will contact the Merchant and follow your suggestion.

[Fenwick]

There was a scam along these lines about a year ago which we were warned about at work. Always a customer you didn't know previously, not to be delivered or sent to their registered address and for an amount which looked a good sale. We didn't get stung because we had been warned before we had someone try it. It's a joke they can get away with it by exploiting the system

[Bfcboyo]

Bfcboyo, when I asked for Card Fraud advice, I didn’t mean for someone committing the offence, as you’ve suggested for some reason, but advice for the victim.

C&J, the goods were delivered to a third party, who was aware of the supposed sender, when the goods were delivered . The Tel No trace is good idea. Although a contact Tel No was left by the purchaser, which when checked, was a false one.
TVC15, we will contact the Merchant and follow your suggestion.

Just social commentating on my experiences of thievin smack heads.

[s6t9a2f3f]

your really lucky the police has took a interest they usually palm you off down the Action Fraud / contact your bank route. Action Fraud are just a data collection service they have nowhere near the resources to cope with this growing billion pound problem and certainly not "in their view" low level fraud involving small amounts of money. Jack Buster on the facebook group EVSA might offer some up to date advise he runs EVSA regarding mainly ebay fraud cases and attaempting to trace and get peoples money back, there's some real horror stories on there on a daily basis.

[Hipper]

I would have thought the weakness was the 'delivering to a third party' and not to the address of the cardholder.

As a customer, I have had the odd dispute when using e-bay or buying direct with a debit card and it seems all the customer has to do was make a complaint with the onus very much on the business to prove I'm lying. I always thought this a bit harsh and open to abuse but I suppose if the merchants want customers to feel confident in the system that is the way it must be.

Merchants seem to be a law unto themselves. I knew a fellow starting up in high end hi-fi. He had all the up front costs - trialling, importing, transport, taxes etc. yet the merchant kept some or all of the payments for a few months in case there was any dispute. My friend had to 'earn' a measure of reliability over time before the merchant reduced the time taken to pay him.

It seems pretty tough to start up a business and I admire people who give it a go.

[Billyblah]

Bfc, a couple of points, you make reference to the Purchasers telephone number being a false one. Can you offer evidence to that effect?

You have stated that the police are actively involved. Can you push them to providing a Police Report? Such information might help you in your action.