wordpress blog stats
Connect with us

Hi, what are you looking for?

On RBI’s online billing guidelines: What about the small merchants?

A few months ago, I was discussing with an online payment platform company, issues related to piracy of reports that we intend to sell. We're not doing print, so these will essentially be digital goods, so the ease of transfer-ability is significantly worrying. The platform service provider pointed towards something we hadn't considered, and which, according to them, is a significant issue internationally: chargebacks. Chargebacks are situations wherein customers claim that they never paid for the product, and in Card Not Present (CNP) situations such as online payments, it is difficult to prove for a merchant. The situation is worse in case of digital goods, since delivery of the product is immediate, and there is no way to recall a digital product, unless it is only being viewed within the confines of an online platform, behind a paywall. In that case, you are revoking access. A comment made by Vishwas Patel, Founder of online payment gateway firm CC Avenue, on our post regarding RBI's new online payment guidelines, reiterates that. He said: Verified By Visa and MasterCard Securecode helps a merchant more than it causes concern. It effectively takes away the liability from the merchants heads of Chargeback for the reason of cardholder disputing of not having participated in the transaction. Just validating a transaction with 16 digits, Expiry date and 3 digit CVV numbers, that are so blatantly visible on any card, had given rise to a lot of fraud. Earlier, Merchants were not only losing money on chargebacks but also products as well…

Please subscribe/login to read the full story.
Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

Free Reads

News

Telecom companies are against a regulatory sandbox, as they think information revealed by businesses during the sandboxing process might be confidential should be out...

News

According to a statement, the executive body of the European Union had also sought internal documents on the risk assessments and mitigation measures for...

News

The newly launched partially open-sourced LLM Grok-1 can be commercially used but not trademarked.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

NPCI CEO Dilip Asbe recently said that what is not written in regulations is a no-go for fintech entities. But following this advice could...

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ