Improve on Chargeback policy than offering Cashbacks.
Have better #ChargeBack policies than giving #Cashbacks..
#Cashback is the worst strategy a company or an industry can use as long term. It not only creates a short term bulge in the business Volume of a company but also for the Industry, and its never sustainable.
Instead of offering #Cashbacks please improve the rules on #ChargeBacks. People will have more confidence on the digital payments. Currently if a transaction is disputed TAT few banks give is of 90 – 120 days, few says 7 working days even it is for Rs. 50. Why should a customer bear the #CostOfInefficiency and faulty technical system?
Why can’t issuer bank in case of a #disputed transaction give instant money back to the account/card upto a small amount say Rs 1000/2000 and then investigate, if found wrong then deduct the balance or in case of #Zero balance mark a lien.
Why by Default assumption of the banking system is that everybody wants to do fraud and cheat the system and hence let us investigate first and then revert the disputed money.
It is the trust in the ATM that if money doesn’t come out, it will be automatically reverted maximum within 2-3 days. We need the same trust in #Payments too, and this can be worked upon by regulator only