Chargeback fraud, a practice where a customer disputes a charge after receiving a product or service, has become a significant thorn in the side of nonprofit arts and culture organizations.

Live performance groups are particularly vulnerable to fraudulent claims, mostly from secondary market scammers trying to mitigate their losses after reselling your tickets at predatory mark-ups leaving you to deal with unhappy ticket buyers.

Whether driven by fraudulent intent or old-school  bargain-hunting, these false claims can lead to lost revenue, increased administrative costs, and damaged relationships.

To combat chargeback fraud and protect their bottom line, the best line of defense is a payment gateway provider that makes it as difficult as possible for bad actors to take advantage of your organization.

This is one of the reasons UpStage integrates with the Stripe payment gateway. They offer a comprehensive suite of tools designed to mitigate these risks.

• Advanced fraud detection: UpStage users can leverage Stripe's sophisticated fraud detection algorithms to identify suspicious transactions and reduce the likelihood of fraudulent chargebacks by blocking the sale before it happens.
• Chargeback dispute management: Stripe provides streamlined tools for managing chargeback disputes, enabling organizations to gather evidence and respond promptly to claims.
• Additional third party solutions: If needed, Stripe can connect with third party services such as Kount and Chargeflow, that focus on fighting chargeback fraud.
• Policy review: UpStage carefully examines users' ticket sales policies to identify and eliminate language that could be exploited by fraudsters. This proactive approach helps prevent potential problems before they arise, rather than having to deal with them after the fact.
• Customer Service Features: UpStage provides multiple features that allow you to meet patrons in the middle by converting their ticket purchase into a dollar credit or even a donation with one-click simplicity.

By adopting UpStage CRM and Stripe, nonprofit performing arts organizations can significantly reduce their exposure to chargeback fraud, protect their revenue streams, and focus on delivering exceptional cultural experiences to their audiences.

Stripe Fraud and Chargeback Protection Resources