
Ask HN: Have you ever been a victim of chargeback fraud? - LansanaCamara
Hey all,<p>I&#x27;m asking for some input from any of you that have ever been a victim, or know someone that has been a victim of chargeback fraud, and can let me know under what circumstances it occurred.<p>I&#x27;ve built a money transmission app for virtual goods, and the core focus (other than the fact that it is for virtual goods) is chargeback fraud prevention. I applied to YC with my app.<p>Some background:<p>I used to flip video game items in high school, and this was a big problem I and many others faced. People would send you money through an app like PayPal and you&#x27;d give them the goods. A couple of days later, you&#x27;d get a chargeback. Unless you gathered some kind of transaction proof yourself, you&#x27;d be out of the money as well as your goods. This led to many subpar solutions, like dealing with trusted middlemen with high transaction fees.<p>Here are the most common chargeback scenarios that I am aware of and have provided solutions for&#x2F;working on providing a solution for in my app:<p>1. Buyers remorse<p>2. A family member stealing from another (a form of identity fraud)<p>3. Elaborate reseller scams<p>4. Infected computers which are used to make payments through some kind of remote-controlled software like TeamViewer, or other remote administrative tools<p>5. Dishonest buyers claiming it was not them that made the purchase (another form of identity fraud)<p>Thank you in advance for your input. Feel free to give some really constructive criticism as well.
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PaulHoule
From what I hear people who sell virtual goods have awful problems with
chargebacks.

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LansanaCamara
Yes, they do. This is why I'm doing what I'm doing. Thanks for your input.

