There's a million things to keep online sellers and small business owners up at night worrying, and here's another to add to the list: a mistake by a financial institution that can get you suspended from your selling venue.
A reader sent me this link to a thread on the Etsy forums
and said, "It's sad what they did to this seller." The thread was started by a seller who said Etsy shut down her shop over an error. Here's an excerpt of her explanation:
"In short, Etsy suspended my shop after they received a chargeback from my credit card company for a supposed unauthorized transaction (I buy some supplies for my shop from other Etsy sellers from that account).
"The thing is, the credit card company made a mistake. The charge was not fraudulent. It had been made by me. There was other fraudulent activity on the card, and those completely valid transactions with an Etsy seller got mixed up in it.
"The awful thing is....I had already corrected the credit card company's mistake 2 days before my shop was suspended and the credit card statement was showing correctly THAT SAME DAY."
It's good to know that Etsy takes action on reports of fraud, and it's important to remember that we don't know how or when the credit card company communicated to Etsy what it thought was a fraudulent transaction.
One would like to believe Etsy would quickly fix a case where it suspended a seller for a mistake by a third party, but is the credit card company being responsive when Etsy seeks confirmation that the fraud report was made in error?
We just don't have enough information about the communication between the four parties: Etsy, the credit card company, the seller whose credit card was compromised, and the seller from whom she purchased supplies.
The point is that it's bad enough that one's credit card can be compromised by a fraudster, but who knew it could result in a seller's livelihood coming to a screeching halt?