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re: My 15-year-old kid wants to start dropshipping

Posted on 6/28/23 at 3:10 pm to
Posted by WB Davis
Member since May 2018
2118 posts
Posted on 6/28/23 at 3:10 pm to
quote:

returns and credit card charge backs
So-called "friendly fraud" is murder on these types of businesses.

Imagine dropshipping a big order, then a month after delivery the payment processor notifies you of a chargeback.

The customer claims to have never received the goods, despite UPS having proof-of-delivery.

Forget trying to fight it - payment card companies accept bogus chargebacks regardless of your documentation.

So now you've lost the funds from your sale, you owe a chargeback penalty, and you still have to pay the supplier for those goods.
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