Quote Originally Posted by jim View Post
CC compamy eats is, acceptable loss. Not the merchant. IF business got stuck for it, they'd no longer accept CC's.
As a business with a merchant account I can tell you the merchant will eat it as a charge back. As soon as you notify your credit card company there is an issue with the charge they immediately seize the funds from the merchants account and then hold them until they determine the outcome. Once they verify the charge is fraudulent they will keep the money and the merchant is the one that is out. It is the risk a merchant takes accepting credit cards but in the current business environment it is very difficult to do business and not accept credit cards.