Before we were FlexPay we were online merchants. We were selling subscription products direct to consumers and knew that selling online came with risks and costs. Our chargeback rates were through the roof, so we decided to take care of this problem ourselves.
We have a deep and long history with both acquiring and card issuing banks. This is how we understand the systems that control the transaction approval processes within issuers for CNP transactions, known as a “risk decline system”.
We built a statistically-based software that is able to analyze the varying attributes of transactions in order to save money in chargebacks and it ended up salvaging our decline rate.
We've been there and we get it. Online payments are declining at a horrendous rate. On the top of that, there's charge back, low approval rates, and high processing costs that we all need to worry about.