* * *

Such is America’s regulatory landscape ¯\_(ツ)_/¯

If they lose the contract with their credit card company... I see people jumping out of windows at the Twilio HQ.

That’s like nuclear meltdown.

To lose the ability to process MasterCard or Visa credit cards takes a few months. You can rack up big fines during that time though. If they get put into the probation period that would raise red flags with some execs, assuming people are communicating these things.

Maybe they will get surprised, because people live by „don’t ask, don’t tell“ and when shit hits the fan everybody acts surprised.

Customers can do that anyway.

Further, the customer has the right to dispute credit card charges thanks to the agreement between customer and card provider and between card provider and merchant.

Twilio will get in trouble with Visa/Mastercard if customers say Twilio is dropping them for disputes the card provider finds in the customers' favor.

> Twilio will get in trouble with Visa/Mastercard if customers say Twilio is dropping them for disputes the card provider finds in the customers' favor.

This isn't true. Visa/Mastercard care about your chargeback rate. You can block a customer who's done a chargeback. I'm sure the card networks have rules around what you cannot do as a result of a chargeback but you can stop providing services to a customer who has done a chargeback.

Disclosure: I engineered and delivered a high risk payment processing gateway to a firm specializing in being a cc processor of last resort, also working with merchant banks of last resort.

To be clear, my views on this are not legal counsel, they are simply from having worked in this area for a decade before becoming CTO at a global bank.