If someone steals my credit card and uses it, the bank reimburses me. But surely visa or whoever doesn't eat the cost. Does the merchant that sold the merchandise end up having to eat it, since they didn't check to see if the card was actually the user?
2007-02-19 18:41:37 · 3 answers · asked by Skinhead Charlie 2 in Business & Finance ➔ Credit
That's why credit card companies have insurance policies, which provide protection against these things. They pay for the insurance protection with the interest charges, late payment fees, etc., which means these costs are passed back to the consumer. The merchant has already paid a fee to the credit card company when they accepted the card - sometimes 2-3% of the purchase price.
2007-02-19 22:07:04 · answer #1 · answered by RedSoxFan 4 · 0⤊ 0⤋
we all end up paying eventually.
insurance covers some but some merchants also get charges reversed.
If you call and ask, do so from a payphone as they might think you are trying to scam them.
2007-02-20 02:46:25 · answer #2 · answered by kissmymiddlefinger 5 · 0⤊ 0⤋
insurance eats it
2007-02-20 02:44:34 · answer #3 · answered by Anonymous · 0⤊ 0⤋