LOS ANGELES, CA--(Marketwired - Dec 13, 2016) - In a development that demonstrated the company's continued leadership position, Verifi, Inc., a provider of payment and risk management solutions for card-not-present merchants, today announced that their Cardholder Dispute Resolution Network (CDRN) achieved 26% over the last quarter and 62% over the same period last year with similar expectations for the fourth quarter.
In partnership with top issuing banks, CDRN handles hundreds of thousands of cardholder disputes each month. Historically realizing a 90+% resolution rate for fraud and non-fraud cases, cardholder disputes are resolved promptly through CDRN's patented, "closed loop" network. With CDRN, 72% percent of disputes are addressed within 24 hours and 50% percent of disputes within 16 hours. Issuing banks and merchants easily integrate with CDRN to create a seamless platform where both parties can collaborate and resolve fraud and non-fraud disputes in near real time before they become chargebacks.
With Card Not Present sales expected to rise by over 17% during the 2016 holiday shopping season, merchants and issuing banks will be flooded with cardholder disputes and chargebacks as a result of friendly fraud/buyer's remorse or heightened levels of true fraud that are a byproduct of the biggest selling season of the year. According to industry research firm, Aite Group, 60 to 70% of chargebacks are the result of friendly fraud. In many cases, cardholders seek to game the system, experience buyers' remorse or simply experience billing confusion.
"Issuing banks look to us to significantly reduce case management costs, increase the efficiency by which banks and merchants can resolve disputed payments and dramatically minimize chargebacks and cardholder dissatisfaction," said Matthew Katz, CEO of Verifi. "The stakes this time of year for our bank partners and merchants alike rise dramatically with holiday sales expected to reach new highs. CDRN's continued and unprecedented growth further illustrates our commitment toward continual improvement to help issuing banks and merchants mitigate chargebacks with unmatched success."
Supporting more than 13,000 active accounts for merchants, CDRN has prevented over 3.4 million fraud and non-fraud chargebacks and has been recognized as the Best Chargeback Management Solution the last four consecutive years in addition to Best Chargeback Prevention Service. As part of its global growth initiatives, CDRN is now active in the UK with aggressive plans for new international markets in 2017.
Additionally, Verifi is in the process of expanding their award-winning dispute prevention and risk management services to further improve the payments eco system for cardholders, merchants and issuers alike. As part of their innovation plan, a new service will enable the sharing of order details in real-time between merchants and issuers to resolve billing confusion, reduce friendly fraud and help validate true fraud. By providing a deeper level of data, cardholders can better recall or understand their purchases and avoid filing false cases of fraud or looking to "game the system" that result in unnecessary chargebacks, lost sales and profits along with higher operational costs and unhappy customers.
Verifi, an award-winning provider of end-to-end payment protection and management solutions, was founded in 2005 to help merchants effectively manage the payments challenges they face every day. Verifi helps merchants safely process payments, combat fraud, prevent and resolve costly chargebacks, as well as increase billings and keep loyal customers. Our best-in-breed solutions and white glove support are trusted by a wide range of industries from emerging companies to the Fortune 500. Headquartered in Los Angeles, California, we serve more than 13,000 accounts globally. For more information, visit: www.verifi.com.