If you sell digital products online... Is THIS nightmare driving you crazy?

8 replies
Hey all,

Are you guys having problems with folks whom I call "sub prime buyers?" These are buyers who purchase products with a (bad) "plan." They purchase the product and wait a few days before calling their financial institution to say they didn't authorize the transaction...

I find that these "claims" are nearly impossible to win... They are only "winnable" when the person uses their PayPal BALANCE from an IP address PayPal recognizes...

At any rate... I've supplied evidence of product delivery through third party delivery platforms and still lose every single time a CC was used...

Just wondering if any of you are having this issue and what you may be doing to combat it. Thanks!
#crazy #digital #driving #nightmare #online #products #sell
  • It won't help you in every circumstance (obviously), but in every digital product you have include a warning that you will pursue legal action to any fraudulent purchases. I have done this before and while its success rate isn't 100% of course, it has weeded out a few bad apples. Anytime you can cut down even 1 scammer it is a victory.
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  • Profile picture of the author tagiscom
    Yep, had that issue all the time, and tried the nastly message, which doens't really work.

    Then blocking the little s***ts which also doens't really work.

    Occasionally, since PayPal keeps messing with its TOS, l had to fork out the product cost, after doing that a few times, pulled the product.

    Bottom line is, if the traffic source is crap the affiliate or direct sales will be full of ar****holes, dredging up credit card numbers from a giraffe site that they can spin.

    My advise is put up with it, and then pull or disable all of the buy now buttoms when it becomes unprofitable.

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    • Profile picture of the author TheBigBee
      Thanks for this reply. After almost a year of dealing with this issue I designed a solution that will allow me to sleep like a baby knowing that folks won't be able to rip me off.

      It uses software to...
      1. Weed out bad apples on the front end.
      2. Ensure that only LEGITIMATE claims of unauthorized use are successfully corrected.

      The solution I devised was "manual" at first and works like a charm...

      However, I got tired of the manual labor and have been able to automate the solution for any future products I launch.

      In developing this automation I had the thought "gee, others must be having this problem." So, I posted this thread as I was considering putting it out there for digital product creators at large. Particularly those product creators who offer higher ticket offerings in niches chock full of "sub prime" buyers.

      Based on the feedback I've gotten here and PM, I think I'll get around to putting it out there for you guys to use later in the year.

      Thanks for your feedback!
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      • Profile picture of the author mickyl
        Hi, did it happened to you many times? I used to sell in Ebay, where this kind of things is quite common (or at least used to be, which made me stop working with them actually), but it never happened with digital products...
        Now you gave me nightmares:-)
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  • Profile picture of the author agmccall
    It is all part of being in the MMO/Internet Marketing Niche and all the sub niches that go with it. I guess people should just figure that into the price of their products

    al
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  • Profile picture of the author stephenm44
    I have had this problem mainly when the claimant has been from outside the UK. Nearly impossible to stop but clear warnings of impending legal action can sometimes help.
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  • Profile picture of the author Andrew Hurst
    When people signup have to your membership website where the content will be based. That way you can control access. Maybe don't release the juciest stuff right away, a drip feed of product content? I don't know, just brainstorming! Like, if you cancel and lose access, you will not get the new info released over time.
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  • Profile picture of the author seobro
    I had one guy... he bought physical products from my site, not digital downloads, and later claims he had his credit card stolen twice in one year. Well, pay pal says he needs to get a refund as they side with customers, I mean scammers. They keep him on. Hard to believe this is going on, but there we are.


    Pay pal is one of the worst companies ever. I have to refund scammers. Also, they believe stories that make "the dog eat my homework," seem plausible to some. Personally, I hate pay pal more than fee bay even.
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