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Moving and transportation companies include vehicle shippers, animal shippers, taxis, transport brokers, furniture/home movers and other freight companies (truck, ship, aircraft or train), both long distance and local. Transportation merchant accounts have specific features to support members of the competitive industry:
The industry is considered high risk because it’s prone to chargebacks. Customers often book with one carrier and end up using another. Weather and other unpredictable travel constraints like traffic and road construction make it difficult to estimate costs up front and follow exact schedules, while dissatisfaction claims are usually arduous to disprove. Damages are expensive to cover, and if you aren’t able to compensate the customer for losses, the liability defaults to your credit card processor.
But by integrating a payment system that produces documentation for every interaction with customers, having clear policies, offering insurance, issuing refunds when necessary, operating in compliance with government regulations and following industry best practices, a transportation business can keep its chargeback ratio below average.
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