Can't you put a delay to transitions and if is the case cancel the receiving IM points when you realize it's an illegal purchase?
The problem with this is that most times you have close to half a month to request a chargeback
Merchants tend to incur penalty fees by the initiation of chargebacks.
The cards are defaulted so the merchant just loses and loses.
Prepaid cards are one option
However, gravity and the card company would have to generate codes that make spamming codes until you find a legit one stupid and evade proxied attempts to do it.
From Wiki
http://en.wikipedia....wiki/ChargebackThe merchant's acquiring bank accepts the risk that the merchant will remain solvent over time, and thus has an incentive to take a keen interest in the merchant's products and business practices. Reducing consumer chargebacks is crucial to this endeavor. To encourage compliance acquirers may, at their discretion, charge merchants a penalty per chargeback received. Payment service providers, such as PayPal, have a similar policy.[2]
In addition, Visa and MasterCard may levy severe fines against acquiring banks that retain merchants with high chargeback frequency. Acquirers typically pass such fines directly to the merchant. Merchants whose ratios stray too far out of compliance may trigger card association fines of $100 or more per chargeback.[3]
PS sorry I offended you but most virtual currency sellers are Chinese or Russian with a small pie by Americans
Edited by Himeyasha, 08 February 2011 - 10:54 AM.