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paxys 2 days ago

That's not the reason. Cost of chargebacks falls entirely on the merchant. Visa/MC have no reason to care.

mrsilencedogood 2 days ago | parent [-]

What happens if the merchant folds or disappears? Stripe (or Visa or whoever) then are the bagholder. And if someone has a ton of chargebacks, it's not uncommon they're then difficult to collect from.

eclipticplane 2 days ago | parent [-]

Then hold back a portion of funds in escrow.

mrsilencedogood a day ago | parent [-]

Ah good job, you fixed it. I suggest you let Stripe and Visa know, I'm sure they'll be keen.