Today businesses have shrunken and operate with fewer employees and are totally internet driven. With the increase of internet users, the potential market of online business has also grown, along with this the risks of phishing, online frauds or fake websites have also grown.
Secured online payment is a concern for both the customers and the retailer. If you sell products online and accept credit cards perhaps you might have already faced credit card fraud.
You can look for the solutions of Anti-Fraud at Acuitytec.
Fraudulent orders often result in huge losses: refunded sales, unsatisfied customers calling you, and asking why you have charged the credit card.
Such orders bring a lot of chargebacks: your merchant account can easily be terminated, you get chargeback fines and so on. In order to prevent credit card fraud, you must check each and every transaction that goes through.
These are the most important things to check on an order to see if it is a legitimate order:
1. Checking the IP address of the customer is a very important procedure, as the IP address is a unique identifier on a network, issued by the Internet Service Provider. For i.e. if a customer submits an order that has the USA billing address, but his computer's IP address is from some African country – this raises a red flag.
2. Check the customer's real name and e-mail address. Often fraudsters enter one customer's name i.e. John Doe, while the e-mail address contains completely another name
3. Analyze your webservers and merchant account logs to see if there were multiple attempts to order the product. Usually scammers have many stolen credit cards and try to use them to order the product.
They enter one card number, it gets declined, then they enter another one that has a completely different customer's name, it gets declined, so they take the 3rd card and try to order again until they get a success. Multiple attempts to order the product with different credit cards – huge fraud risk!