I just got an email from one of my CC processors that they are no longer going to process CC for me because I don’t have enough money in the bank account that they use to deposit funds to. Anybody ever heard of this?
did you transfer to the new chip reader ? If you haven’t then the banks are not responsible for any fraudulent activity and will have to collect the funds back from somewhere . This is the only thing I can think about
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Don’t be shy, name ‘names.’
I think Genaro is on the right track…
The CC companies are shifting the liability to us.
My reader is a new model, with the chip reader, so I can’t speak from experience.
But it makes sense…
What banks where doing back in 2008 , was they would re-check your credit and if your fico score went down or you had some late payment on your mortgage ( meaning in the process of foreclosure ) they would close your cc to limit a big potential losses .
Also , credit cards that where not being used at all where better off closed than risking a potential loss .
I use Intuit Merchant Account - they don’t care about credit, or how much money is in my account. SUPER EASY / SUPER SIMPLE
I have heard of this. They do this if you are processing a sizeable amount of transactions, and if you process more than what’s in the bank they get concerned about cancelled transactions, fraudulent charges and your business being able to handle a loss like that.
I did a little more research and on this and found out that many of the CC processing companies are getting burned by those text message/email scams where an unsuspecting service provider overcharges the stolen credit card and then wires money to a third party. When the processor has to refund the money due to fraud protection laws, they are on the hook for the lost money as you point out.
I wasn’t aware that so many people are falling for that crap but I get these messages so frequently that I have a pre-made response on my iPhone to send back.
