Chargebacks can still come along up to 6 months after the charge date, not just 90 days.
And yes, you aren't going to see any of the money from the chargebacks but that doesn't matter. A very small percentage of people know about or bother to charge back. You'll lose maybe 5-10% at most (a higher cb rate would surprise me but then again I've never run a scam op so it may be common) and you will get a lot of faxes but you can just ignore them, take the 90% out and let the bank shut down your account eventually.
By the time the bank gets around to actually shutting down the account most of the money will be gone. I imagine they'll freeze the money at some point but if you're running a large operation you'll know at what point that will happen and will have stopped using that merchant account before then and have taken most of the money out.
EDIT: I forgot another reason why banks don't like chargebacks: banks themselves have to stay below a certain aggregate chargeback threshold across all their clients' accounts or they get grief from the credit card companies and have to pay penalties/fines. If they're a small bank there's even the possibility that the credit card companies will drop you entirely.
And yes, you aren't going to see any of the money from the chargebacks but that doesn't matter. A very small percentage of people know about or bother to charge back. You'll lose maybe 5-10% at most (a higher cb rate would surprise me but then again I've never run a scam op so it may be common) and you will get a lot of faxes but you can just ignore them, take the 90% out and let the bank shut down your account eventually.
By the time the bank gets around to actually shutting down the account most of the money will be gone. I imagine they'll freeze the money at some point but if you're running a large operation you'll know at what point that will happen and will have stopped using that merchant account before then and have taken most of the money out.
EDIT: I forgot another reason why banks don't like chargebacks: banks themselves have to stay below a certain aggregate chargeback threshold across all their clients' accounts or they get grief from the credit card companies and have to pay penalties/fines. If they're a small bank there's even the possibility that the credit card companies will drop you entirely.