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Author Topic: Why cant you buy bitcoins with credit cards?  (Read 995 times)
wingding (OP)
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March 16, 2013, 05:11:34 PM
 #1

Is there any particular reason there are almost no sites offering bitcoins to be paid with credit card?
LoweryCBS
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March 16, 2013, 05:13:03 PM
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http://btcquick.com
nobbynobbynoob
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March 16, 2013, 05:13:44 PM
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Credit card payments are reversible whereas bitcoin transactions are not. That's the essence of it, really.

There are indirect ways to convert CC to BTC though, e.g. cash advance and use localbitcoins.com or deposit the cash and transfer to an exchange; or use VirWoX to purchase Second Life Linden dollars and then exchange those for bitcoins. Tedious, I know. Still, I've never done that before but I have managed to buy a bit of gold with CC. YMMV.

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dayasinfo
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March 16, 2013, 05:14:01 PM
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many sites are leary of fraudulent use of credit cards.. i mean as easy as it is for hackes to take our stuff.. would you want to buy?
Gabi
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March 16, 2013, 05:17:31 PM
 #5

Chargebacks

wingding (OP)
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March 16, 2013, 05:19:05 PM
 #6

Chargebacks

What does chargeback mean?
nobbynobbynoob
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March 16, 2013, 05:21:38 PM
 #7

What does chargeback mean?

Reversal of payment.

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js1985
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March 16, 2013, 05:24:19 PM
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Btcquick are taking quite a risk, what is the verification process like
wingding (OP)
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March 16, 2013, 05:25:12 PM
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What does chargeback mean?

Reversal of payment.

Yea, but as far as I can see, chargeback only applies when there is a dispute, or goods are not as expected etc.  I cant see how it would apply in purchasing bitcoins.
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March 16, 2013, 05:29:15 PM
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Yea, but as far as I can see, chargeback only applies when there is a dispute, or goods are not as expected etc.  I cant see how it would apply in purchasing bitcoins.

There are not-so-virtuous types out there (believe it or not) who make fraudulent chargeback claims. I think this is one of the reasons the CC companies get so antsy when one tries to purchase anything of real value. They block the payment, then one has to phone the CC issuer to ask their permission to reprocess the payment, then try again with the merchant (arrrgh). This helps protect the CC issuer against "friendly fraud" whereby someone makes a legitimate purchase and pretends someone stole the card before the transaction occurred. If you've explicitly passed the CC identity verification crap and confirm the transaction, you cannot then turn around and say you didn't authorize it!

Similar applies for PayPal.

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Gabi
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March 16, 2013, 05:39:02 PM
 #11

What does chargeback mean?

Reversal of payment.

Yea, but as far as I can see, chargeback only applies when there is a dispute, or goods are not as expected etc.  I cant see how it would apply in purchasing bitcoins.
Not exactly. What happens is that a guy buy bitcoin with credit card and then revert the payment. You don't believe me? Try selling bitcoins for paypal or credit cards payment and tell me how it goes  Cheesy

wingding (OP)
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March 16, 2013, 05:53:57 PM
 #12

Have this fraudulent chargeback actually happened with bitcoin sales, or is just 'in theory'?
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March 16, 2013, 05:56:14 PM
 #13

Happened tons of times.

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