Maintaining good chargeback ratios should be on the minds of every merchant. If a merchant has one chargeback for every 10 sales they have, this isn’t good anyway you look at it. Visa/MasterCard both have chargeback monitoring programs to watch merchants that have excessive chargebacks. Finding yourself in one of these programs will come with hefty fines and having your credit card processing company terminate your account. MasterCard’s requirement for their chargeback program is 50 chargebacks and 0.50% of transaction volume in a calendar month. Visa’s is 100 chargebacks and 1% of transaction volume. MasterCard relies on the acquirer to self-report any merchant that meets their criteria. Whereas Visa does their own reporting. They use the merchant’s DBA name, volume and transaction amounts and are automatically placed into their program if they meet the criteria. It is recommend that all merchants keep aware of their chargeback ratios. If you have too many, you could find yourself in deep trouble or worse, without the ability to ever accept credit cards again. So regardless if you process $50K or $500 million a month, keep an eye on your chargeback count. The key here is to ensure customer satisfaction and avoid fraudulent transactions as much as possible.