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Innovative Merchant Solutions Complaints - Fraudulent business practices!

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Innovative Merchant Solutions

Posted: 2007-12-09 by Kyle Lougheed  [send email]
Fraudulent business practices!
Complaint Rating:  75 % with 4 votes
Company information:
innovative merchant solutions
26541 Agoura Rd
Calabasas, California
United States
Phone: 616 936 7800

This company called my company from a unlisted phone and would not identify themselves or leave a contact number that could be confirmed. They want private information on one of my customers to confirm a $3000 credit card transaction for which they where asked to process. When told to contact the customer directly they said that they don't do that. I canceled my services with there company due to fact that there risk management is suspect and i want to protect my customers. THEY THEN PROCESSED THE CARD AND HELD THE FUNDS IN THEIR OWN ACCOUNTS . I was told they will hold the customers $3000 for 275 days and that there was nothing anyone could due about it. Also very mysteriously all my credit cards are suddenly requiring verification to used.These people are vindictive, deceiving and conducting business in a very unsavory way PLEASE BEWARE OF THIS COMPANY!!! TELL ALL HOME BASED AND SMALL BUSINESS OWNERS THAT USE QUICK BOOKS SOFTWARE TO BEWARE
Comments United States Scam & Fake Checks
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 289 days ago by   LeAnne Jespersen 0 Votes
IMS accepts the liability for these sales on behalf of the merchant and will accept the loss from the card issuing bank in the event that the merchant does not have sufficient funds to cover the loss. The associations also dictate the types of investigations that IMS must complete and they are driven by unusual or exceptional activity such as a very large sale. Therefore if you usually accept credit card sale for $100 and you process a sale for $2000, the industry requires that this sale be investigated. IMS is just one member of the entire system that all bankcard issuers and acquirers (processors) are a part of. Some banks may knowingly choose to disregard the liability that they share in this process, but this is usually on the basis of other banking relationships, such as large deposits, that they hold with that customer. Because we allow our merchants to hold their bank account wherever they like, we cannot benefit from such a relationship. Additionally, we cannot dictate whether a customer will dispute a sale. The associations make the rules as to how and when a cardholder can dispute a credit card sale. We are obliged to accept the chargeback if the card issuing bank follows all the rules as set forth by the associations. Unfortunately there are some cardholders who take advantage of that system. But it is their card issuing bank's responsibility to determine when they feel their customer is manipulating the system. Almost every consumer advocate in the world will tell you to use a credit card for a large purchase because it's easier to dispute the sale. As a cardholder you have those same benefits, but as a merchant, you can become a victim of that same system that protects you. Sadly it cannot go both ways and protect you on both ends. But again, this is not a system that IMS has created, it is merely one that we are subject to and work with. Anyone who complains about the Merchant Agreement is simply under informed, and it is not because IMS is any type of scam.

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