When you're focused on managing and growing your auto shop business, disputes and fraud cases can stand in the way. In fact, did you know that repeat cases of chargebacks from disputes and fraud can actually have negative long-term impacts on your business? An unusually high frequency of chargebacks can lead to your business being labeled as a “high-risk account,” resulting in higher per-transaction fees or outright cancellation from your current payment processor, fines from credit card brands, or even being blacklisted from opening new payment processing accounts. All of these unwelcome potential outcomes complicate payment processing while cutting into your bottom line1.

While it’s impossible to completely avoid disputes and fraud and the inconvenience they put on your business, you can reduce your risk with continuous education and by implementing best practices when accepting card payments. Our in-house Risk Management team works alongside Shopmonkey customers to help protect their businesses from high-risk transactions that are often fraudulent and helps compile rebuttal responses for any disputes. As a result, Shopmonkey customers see an average of 83% fewer disputes than the rest of the auto repair industry.

Here are three key ways the Shopmonkey Risk Management team helps auto shops reduce their risk:

1) Educating customers about how to protect their shops 

Knowing how to recognize suspicious transactions and be prepared in the event of a dispute can be the difference between your business losing or saving thousands of dollars. That’s why our risk experts focus on making sure Shopmonkey customers know how to avoid common scenarios of suspicious transactions and fraud, and we ensure that all of our customers are fully trained on the Shopmonkey features that are crucial to protecting their business in the event of a disputed transaction: 

  • The Shopmonkey Message Center documents all communications and authorizations between you and the cardholder, including tracking numbers if a product was shipped. 

  • Shopmonkey Digital Inspections captures photos, videos, and notes of the before and after condition of vehicles that you service.

  • Shopmonkey E-signatures require customer signatures on work orders and estimates to add an extra layer of protection. A signature serves as validation, authorization, acknowledgment, and confirmation.

2) Help with disputes

Disputes can be difficult to navigate, but our Risk Management team is here for you every step of the way. When it comes to disputes, meeting the deadline from the cardholder’s bank with the right documentation/evidence is critical, as the deadline cannot be extended. If you find yourself in a dispute, our team of experts will help you gather evidence and details to present the strongest rebuttal possible to the cardholder’s bank. A strong rebuttal strengthens your case, as each cardholder’s issuing bank reviews all rebuttals and documentation submitted, and they will render decisions on disputes.

3) Real-time risk monitoring 

For our Shopmonkey Payments customers, our Risk Management team watches for abnormal transactions to identify suspicious activity. We use a risk system to review the digital footprint of an incoming transaction, but also provide a human element in reviewing risk – our team can read between the lines and identify suspicious transactions that a software code may not be able to put together in time to mitigate risk.

If a transaction is identified as high-risk, you will receive a call from a real person on our team to help you decide if you should reverse the transaction. This often occurs within minutes of a transaction going through. 

Similarly, if you find yourself in the middle of a sale that you feel is suspicious, you can reach out to our Risk team, and we can talk one-on-one about a transaction to identify if it's high-risk or suspicious, to help you make the best-informed decision on the sale.

You can mitigate risk.

Implementing best practices, such as obtaining relevant details at the time of sale, using signatures, and clearly communicating shop policies, will help mitigate the risk associated with accepting card payments. But we also know a second pair of eyes can make all the difference – and we are here to help.

For more risk management resources from Shopmonkey and to learn about the risks associated with card payments visit click here.

1 https://www.nerdwallet.com/article/small-business/chargeback-fraud-what-small-businesses-need-to-know