Ipayments credit card merchant account Calabasas California

I understand your frustration however, iPayment is within the laws as stated by the card brands, Visa and MasterCard. Before you make unfounded accusations against iPayment, perhaps you should educate yourself by reading rules and regulations set forth by the card brands. Having a merchant account for accepting payments on goods or services is more like having a cash advance. Have you ever disputed a charge with your bank? I'm sure you heard the term chargeback. If you're selling inferior goods or services the consumer has a right to recover their fees paid by initiating a dispute with the card issuing bank.

Cardholders have 180 days and in some cases 210 days from the date of service or receiving product to dispute the charge. Most card brands will not accept a cardholder to dispute a charge that's over 3 months old however, the terms and conditions set forth by Visa MasterCard allow 180 days  after the date of purchase or service for disputing a charge. If it is found in the cardholder's favor then iPayment's is responsible to make the cardholder whole. IPayment earns a small amount on each transaction. In the event one of your customers dispute the charge due to selling inferior products or misrepresenting the product and its found in the cardholder's favor iPayment must make the cardholder whole. This means they are liable for 100% of the cost of the product not just the very small percentage made on each transaction but 100% of the purchase price which you charged .

You either had a reserve with iPayment or you stopped processing exposing iPayment to any chargebacks that come in from 180 days of your last sale. Apparently, you have a history of chargebacks. IPayment is protecting themselves as they are responsible to reimburse the cardholder. Having a merchant account is not as simple as receiving cash. Just as you have the right to dispute a charge against the company for a product or service you did not order, receive, deliver broken or whatever the case may be, credit cards protect the consumer for up to 210 days from the date of service.

Do you know why you are getting chargebacks. You're actually doing to your client what you're accusing iPayment of doing to you except iPayment has every right to hold your funds for  the exposure period based upon your history. If iPayment returned all your funds why should they be liable to pay your customers back for something they were not happy with. This is why they hold your funds for that time.

Threatening to get an attorney is laughable when you should take 10 minutes and educate yourself as to why they are holding your funds. Apparently you signed the reserve you didn't read.