Handling Denied Credit Cards

[clalonde]

I'm looking for some insight/advice on the most effective way and channel to communicate to customers when their credit card on file has been denied.

An example would be a customer that agrees to sign-up for our service and chooses to automatilly bill their credit card on a monthly basis. Unfortunately, we are running into instances where the card is declined when we try to process it and we do not have the customer on the phone to correct the issue. Does anyone share this same issue? If so, how do you go about trying to contact the customer and collect a good credit card? What are the most succesful ways to address this?

Any insight would be greatly appreciated.

[mikael]

My mobile phone company handles that situation automatically by e-mailing to the client, informing them of the amount of the bill and that the credit card processing failed. The note provides the customer with a phone number to call in to resolve the issue. They may send multiple e-mails, or perhaps follow-up themselves with a phone call if the customer doesn't respond -- I don't know. I called in and got my card number corrected immediately.

[Please Hold]

In our office if a card is declined we simply rebill the card the following day. Our office rebills 12 times over a three month time period. Of course service is suspended until the charge is paid. Emailing a customer of his/her declined charge is also a good way to go about it--however indicate in the email that your card will auto rebill to the card on file unless you contact us. Our rebilling info is contained our customer agreement that customers agree to when service is established.

Please Hold!