MicrostockGroup Sponsors


Author Topic: Declined credit card - it just won't add up...  (Read 13365 times)

0 Members and 1 Guest are viewing this topic.

« Reply #25 on: July 15, 2009, 20:35 »
0
But FT is fair, they only take backdrops if dailysales are high. Appears to me as a sign of high level kind of thievery.
My respect: they learn. That give me hope that they - one day in future - will treat constributors as they should be handled, like an annoying kind of crap on their sole.
This will help to shrink prices, earn more and reach the top.

regards
Bertold


« Reply #26 on: July 16, 2009, 03:19 »
0
Recently I've had:
2 x credit card deductions in May
2 x credit card deductions in June
and so far in July I have had 1 x "Credit cancellation" but it doesn't give me any more info than that, so i have no idea what that means.

Prior to these it was Oct '08 when I had the last credit card deduction, so I have definitely seen an influx recently.

« Reply #27 on: July 16, 2009, 04:14 »
0
With tens of thousands photos sold at Istockphoto I never have had one single "credit card fraud" redund there. Zero.

« Reply #28 on: July 16, 2009, 05:27 »
0
With tens of thousands photos sold at Istockphoto I never have had one single "credit card fraud" redund there. Zero.

It doesn't mean it doesn't happen - IS may well keep the loss for itself.  With their 80% share I think it's feasible.  It is harder for DT with 50%.

« Reply #29 on: July 16, 2009, 06:01 »
0
Payment refunds should be written in the contract, if not then they are liable to pay you the revenue for the downloads, I have run a small business and if my customers did not pay me, I was still liable to pay my suppliers and the tax (VAT) on the revenue that I never received payment for, no one in the real world will work on a pay when paid basis, unless they are paid a premium rate!

Sorry David, your comparisons don't make any sense. There is a difference between agency business and retailer business. An agency doesn't take ownership of your property at any point, they just offer you to market your product on your behalf. They also deal with payment and delivery of the product. If they sell one of your products, they are taking a share of the sales they have made. But at no point they are the owner of your product and as such they are at no point obliged to pay for a product of yours.

That's how agencies are working in principle (I'm not talking about stock images here but a business model that applies to different industries).

Edit: Doesn't add to the actual debate of this topic, of course.
« Last Edit: July 16, 2009, 06:03 by MichaelJay »

« Reply #30 on: July 16, 2009, 07:15 »
0
Sorry David, your comparisons don't make any sense. There is a difference between agency business and retailer business.
Michael sorry but you are assuming I was in retail,
Let me explain better I was in construction, no products but contract labour (A.K.A. the suppliers) they were the services that we 'sold' to our customers, we always paid our contractors weekly and 'on time' against timesheets as we had a liability to do so, then we invoiced customers monthly and were paid about 60 -90 days later, we made our money as a commission on the supply of resource and allowed for bad debt provision in our accounts, we then could run the risk of any bad debt which was offset against our commission percentage, at no point would we have gone back to the supplier (tradesman) if we were not paid by our customers, as our suppliers had no legal contract with the customers and could not use the courts for any claims, the only time we withheld payment was if their work was sub standard.

I currently work as a freelance IT contractor, I expect that from the 15%-28% the employment agency adds to my rate that they take any risk of non payment, once I have supplied a service I expect payment from the agency in full not their customer, so this would be the same for digital assets.

Other businesses see the need for bad debt provision and factor this into thier accounts, this should be the same for stock sites, our assets are supplied in good faith and any transaction should be honoured, any bad debt due to Credit Card fraud is not the fault of any artist but a factor in the industry.

The stock sites should have good systems in place to minimise the risk, the ones that do not pass this down likely have better systems of control and are more careful who they partner with.
The others stock sites may not care as much because they will just claw it back months later, as this is the 'wild wide web' and not subject to good business practice.

Just to make it fair, the agencies should do as IS have done and build it in to thier percentage, this spreads the cost of bad debt over all sales, otherwise it just becomes a lottery if the sale of your asset will be claimed back for no fault of the artist.

David  ;)
« Last Edit: July 16, 2009, 07:33 by Adeptris »

« Reply #31 on: July 16, 2009, 07:28 »
0
Michael sorry but you are assuming I was in retail,

No, I don't. You posted a different example from a supermarket before already which had no connection to agency business model. The other example you are bringing now is sub-contracting, yet another way of doing business, very common in construction and IT. Also, comparing physical products with licenses for digital media is just not right. There is no (direct) loss occurring when somebody copies a file. There only is a potential indirect loss of unlicensed use. That's why I object to all those comparisons.

Why not keep it simple and discuss the matter at hand?

« Reply #32 on: July 16, 2009, 07:44 »
0
No, I don't. You posted a different example from a supermarket before already which had no connection to agency business model.
Why not keep it simple and discuss the matter at hand?

Michael,
No Problem a supermarket was used before as an analogy, the quote above was a real business, my background, is engineering, construction, and IT, from an apprentice at 15 to business owner.

Keeping it simple:
The matter at hand is Credit Card fraud, in my experiences I do not know of any other business that passes bad debt down to the suppliers, as most businesses from the multi-national, supermarket chain, high street shop, to the various agencies build in bad debt provision from thier own revenue.

David  ;D 

« Reply #33 on: July 16, 2009, 17:42 »
0
If I am a business and I accept a credit card payment with all data checked (I suppose the sites have online verification with Mastercard, Visa, and etc), then the CC company find the card is a clone or has been robbed, they have to stand the loss, right?

But if I am a business that does not check data (to speed the process, for instance), then in this case I have to stand the loss, because I was careless.

Am I wrong?

« Reply #34 on: August 07, 2009, 03:44 »
0
Despite good sales yesterday i ended the day with a negative balance due to refunds...  >:(

I was wondering, what is Fotolia doing after the credit card is being declined to prevent those fraudsters from using the downloaded images..?..

Patrick H.


 

Related Topics

  Subject / Started by Replies Last post
16 Replies
7993 Views
Last post October 08, 2006, 05:39
by mjp
0 Replies
1449 Views
Last post February 19, 2007, 14:11
by Istock News
33 Replies
13998 Views
Last post November 23, 2008, 12:07
by helix7
6 Replies
3691 Views
Last post October 24, 2009, 17:56
by lisafx
30 Replies
12096 Views
Last post December 30, 2010, 08:36
by cathyslife

Sponsors

Mega Bundle of 5,900+ Professional Lightroom Presets

Microstock Poll Results

Sponsors

3100 Posing Cards Bundle