About Us

WebXCom provides business and personal solutions which make use of innovative convergence between the Web and other means of communication, such as the telephone. Our flagship product, WebXCharge, is a service designed to help online merchants, who are facing one of the most severe problems in e-commerce today: chargebacks.

As the volume of e-Commerce transactions rises rapidly, by over 25% per year, so does the challenge of dealing with fraud. In most cases, however, the "fraud" is not a well-planned campaign such as using a hacked credit cards list. The "friendly fraud", as it is sometimes called, ranges from users denying ever visiting the website to users who claim that the deal was presented differently. Typical and common examples are users claiming the transaction was for a trial period only (instead of paid subscription) and users who ignore the cancellation policies and fees (such as in the travel industry).

The credit card companies, issuing banks, state regulations and even third party processors (such as PayPal) - all put the power in the hands of the customer and the burden of proof on the shoulders of the merchant. When a customer disputes a transaction, either in its entirety or some of its terms, it is up to the merchant to provide the evidence to defend against the customer's claim. With most online businesses, this task is extremely difficult. Almost all the transactions are of 'card-not-present' type and usually no real documents are signed. In other words, the only record of the transaction is an entry in the merchant's database and the only record of its terms, such as pricing, is in the pages of the website (which may change from time to time). For obvious reasons, none of them can be used as a proof.

As a result, less than 20% of transaction disputes are being contested and won by online merchants. In most cases, a "chargeback" process is completed which means the money paid is refunded to the customer and deducted from the merchant's balance. On top of losing revenues and supplying goods or services for free, chargebacks create additional problems for the merchant. The merchant is fined a considerable amount for each "successful" chargeback. The merchant also faces the risk of having its merchant account closed by the processor and it being added to the Terminated Merchant File, a blacklist that will effectively prevent the merchant from accepting credit card payments if the chargebacks percentage crosses a certain threshold.

WebXCharge is a patent-pending service that assists the merchant in combating chargebacks by combining Web API, telephony IVR, VoIP, text to speech, speech recognition and advanced storage technologies. The idea is simple but effective: the system automatically calls the user, read the transaction details and record his confirmation. This process has two functions:

• Verifying the user's phone number for any future reference and inquiries.
• Using the call recording in any case of dispute or chargeback request.

WebXCharge is a flexible, customizable and robust system that can be integrated easily and quickly into any website. It is the first service that offers a practical solution to the "friendly fraud" issue, giving the merchant an effective tool to provide convincing proof of the transaction.