Aimpoint ARCO P-2 FDE

[Crunch762]

Then pay by EMT.... easy

[mildot]

I thought? using the same billing/shipping address solved this problem? Or has it become much more sophisticated than that? That people are renting homes or impersonating homeowners?

[mildot]

Then pay by EMT.... easy

Sure , but what about the "points" & the fraud protection?

[CosmiC10R]

Sure , but what about the "points" & the fraud protection?

note the only person who is on the hook for the "fraud protection" is the small retailer and not the CC company that pulls in billions a year...

I guess they have all that money but can't supply a secure platform but its the retailers fault...

Why doesnt mastercard or visa supply the insurance... don't they know the basics of ecommerce lol

[greentips]

Credit card companies are Account Receivables factoring companies. Let me explain.

They let consumers borrow money ( and make money off interest from those who use it as a revolving facility ), in return, merchants get the "business" that otherwise consumers cannot afford. The merchants basically sell their account receivables to get cash right the way, that 2 to 3% "commission" is the factoring discount.

When the account receivables the credit card companies "bought" turn out to be "bad" ( due to fraud, bad product), they want their money back.

So they are "customers" of the AR of the merchants, therefore they don't provide insurance. It is like you don't provide insurance to the gun shop in case the gun you buy from them is bad - doesn't make sense that way.

hence the merchants may need to buy insurance to insure themselves or self insure of bad AR they may factor to the credit card companies. The complicated part is that credit card companies and merchant account providers control the "mechanical part" of fraud control. yes, they are the customers so they are trying to protect themselves as best as they could, but ultimately it is the seller of the account receivable who ( ie the merchant ) is responsible!

A credit card company service provider bundle is a buyer of AR from the merchants, this is its first business. The second business is loaning money to consumers for interest revenue. The second business facilitates the first business.

[CosmiC10R]

Credit card companies are Account Receivables factoring companies. Let me explain.

They let consumers borrow money ( and make money off interest from those who use it as a revolving facility ), in return, merchants get the "business" that otherwise consumers cannot afford. The merchants basically sell their account receivables to get cash right the way, that 2 to 3% "commission" is the factoring discount.

When the account receivables the credit card companies "bought" turn out to be "bad" ( due to fraud, bad product), they want their money back.

So they are "customers" of the AR of the merchants, therefore they don't provide insurance. It is like you don't provide insurance to the gun shop in case the gun you buy from them is bad - doesn't make sense that way.

hence the merchants may need to buy insurance to insure themselves or self insure of bad AR they may factor to the credit card companies. The complicated part is that credit card companies and merchant account providers control the "mechanical part" of fraud control. yes, they are the customers so they are trying to protect themselves as best as they could, but ultimately it is the seller of the account receivable who ( ie the merchant ) is responsible! After all, they depend on the merchants too

oh its obvious they are the only one protected and no one views them having any liability for the fraudulent use of the service they provide... it's a pretty sweet deal

the comment was a bit tongue in cheek as obviously that Mastercard will never be responsible for the use of a mastercard... they can run an imperfect system but heaven forbid if the small retailer tries to do something to protect themselves...

need to crush those small businesses with more insurance fees and blame them after for crappy human behaviour that is basically an every day part of the service they attempt to provide... because eventually they won't