We have a case of debit card fraud, where we hot-carded the card, but it is still being force-posted daily for some increments. Yes, we do have charge back rights but it cost $15 each time we do it, which doesn't justify the amount that we are actually losing. My question is, how can we stop this? If merchants can still going to force post, is there any way to block them still? If we delete a card from our database, can it still go through on our bin? We have already tried merchant block and do not want to block Italy. Any help would be great - thanks!

Can you be more specific about the types of charges? Recurring, etc.? Nothing new should be able to post on a hot card. We thought we had something similar going on once, but after we researched it, we found that these were just settlement charges from items that had been pre-authed over 10 days earlier. If that's not what's going on here, I would have your switch help you research this.

These are brand new charges and you would be surprised, because we were too, that merchants can force-post transactions, even if the card is hot-carded. Yes, the bank has charge-back rights but if the daily charges are let's say $5 - $10, then it isn't worth the $15 to file each claim. We have been working with our processor and they are the ones who informed us that we would have to pay it and then file a dispute. I'm trying to see if there is another way around this. Sure, we could block Italy but we have clients that travel there in the summer. It just doesn't seem right that transactions can get through after the hot-card and hoping there is another way.

I have seen this before but lucky for us it was just a couple of transactions. Unfortunately I don't have any other good solutions to give you. On transactions that are too small to be worth the chargeback processing cost I would just submit a Fraud Advice to the network (we can do that through our processor). It could help the network identify and shut down the merchant doing these transactions.

I don't know if blocking the country or even the merchant would really help in this case. I assume there are no valid authorizations relating to these transactions and I believe a block would only prevent an authorization attempt. I don't know that it would do any good against a force post like you are describing.

I just had this happen within the last couple of weeks. My customers account was closed and their card had been hotcarded for a couple of months. A movie rental decided they were owed fees for rentals that weren't returned and they keyed the card number in and forced the post on a hotcarded card. They were small charges as well 3 adding up to a little over $40. I called the movie rental and talked to the manager. Told her how they shouldn't force post a hotcarded card and got her to refund the money.

I'm sure in your situation it's a little different but in mine contacting them worked.