Chargebacks from 2011-2012

[remocomp]

Hello,

I just received an email from my affiliate manager, claiming that few of their processors have frozen players funds for transactions that occurred between 2011-2012. They became aware of this on 2012 and stopped working with these processors. He claims that they tried to recover these funds but just now realized that it's impossible and decided to deduct the amount from my account as a chargeback. It's $5k we're talking about here.

My questions are:
1. Does this delayed chargeback notice story sound reasonable? Did something similar happen to any of you guys before?
2. What is in your opinion the best way to approach such issue?

I prefer not to reveal the name of the program at this stage.

Thanks for your help.

 

[LandofOz]

If we're going to talk about this, let's do it in an open and honest manner, giving all parties a chance to express their opinions and respond to the concerns addressed in this thread. Firstly, would a moderator please move this thread to Fortune Affiliates section because this is where it belongs.

I received the same email a few days ago and was quite upset at first. I tried to accept the contents of the email, but I'm just having a hard time accepting it and am feeling very disappointed and angry.

I also have a few questions of my own.

1. According to the email, the player funds were frozen between the end of 2011 and the end of 2012. That's approximately a 12 month period. How can a payment processor go on freezing money owed over a 12 month period without the casino being aware of it? Why did it take 12 months for the casino to become aware of the frozen funds?

2. Don't affiliate programs normally wait for the payment processors to pay them before they pay the affiliates?

3. My chargeback figure is $19,000. I know that casinos do get chargebacks and sometimes payment processors do confiscate funds and run off with them, but is it my fault that this went undetected for 12 months? Whose responsibility was it to keep an eye on the money?

4. Why aren't these chargebacks reflected in the player audit reports?

5. I'd like to know exactly how these chargebacks have been calculated?

6. Why weren't the affiliates informed of this problem sooner rather than later?

7. What is to say that this won't happen again in the future? How can I be sure that in a few years from now, I won't receive a similar email?

8. How have other affiliate programs dealt with these types of payment processor issues in the past?

9. If the money MUST be paid back by the affiliates, then why can't it be paid back in percentages over a period of time, rather than hitting the affiliate with the total sum like some sort of massive negative carryover that could go on for months or even years?

 

[honestgaz]

I think I would ask to see some concrete proof of the chargebacks, from which credit card companies, and some details so that you can double check with visa or whoever is issuing these chargebacks. Without this kind of info we are flying blind and relying on affiliate companies. Now all may be above board, but im sick of rogue, dodgy unethical bastards robbing hard working affiliates blind.. And as they say: If you've got nothing to hide, you have nothing to fear.. So lets have some transparency.. And I wonder how many other affiliates are getting chargebacks ?

 

[TheGooner]

I think I would ask to see some concrete proof of the chargebacks, from which credit card companies, and some details so that you can double check with visa or whoever is issuing these chargebacks.

The one thing you WONT be able to do is verify with Credit Card Companies - you are not a participant in the transaction (either cardholder or merchant) - so they will not disclose any of the details with you.

However, the other questions are valid as it's unlikely that this issue has been hidden for 16-26 months (from a period between Dec 2011 to Dec 2012) until now, and you would expect that there would be some attempt to itemise transactions and assign them to individual players.

And finally, you should only be charged a percentage of this charges, is the same ratio as your rev-share percentage.

Just lumping a 5K or 19K charge without a whole lot of detail is inappropriate.

 

[LandofOz]

Although I'm a little disappointed with the current situation, I have to say that I have been promoting Fortune Affiliates for over 10 years. During this time, I've never had any issues with them. The affiliate managers have always been very helpful and professional, and I have always received payments in a very timely manner. In fact, Fortune Affiliates have always been one of my favorite and most profitable affiliate programs. Although I don't understand the variables that may have contributed to the chargeback issue, I'm sure that the Fortune Affiliates staff are working hard to resolve it.

 

[bonustreak]

Getting others coming to me about getting massive chargebacks 10k plus for a few... This is not good!

 

[LandofOz]

You mean from other Microgaming affiliate programs?

 

[bonustreak]

No two friends said Fortune is holding back 10+ from them from 2011-2012 on chargebacks

 

[AussieDave]

IDK but it's a little too convienent for affiliate programs to throw-up the chargeback flag. More importantly though, FA claims these chargebacks have allowed to essentially drag on since 2011/2012. Even more bizarre is FA have had/have their own (in house) processor for a numer of years now, well before 2011, that's for sure! How is it impossible for FA to retrieve these funds from one of their subsidary processing companies.

Reads more like a grab-for-cash... just sayin!