Check your order
A number of things can alert you to fraudulent orders, take the time to look at yours. Read More
BEWARE of orders from the following countries.
It might not be diplomatic to say DON'T SEND ORDERS TO THESE COUNTRIES but many people experienced in online sales will tell you that is their policy. Read More
Check the I.P. Address
An I.P. Address is what identifies users on the internet, It doesn't tell you their name or address but it certainly tells you what country they are from and that's enough to assist with fraud prevention. Read More
BEWARE of people requesting 'Fastest Possible Shipping' People experienced in online sales laugh at this one because it almost guarantees it's a fraudulent order. Read More
Confirm Bank Details
If you are unsure of an order, call the credit card issuer and ask that they call their customer to confirm that it is an authorised use of the credit card.
Request Identity Information
If you are unsure of an order try asking for a faxed or scanned copy of both sides of the credit card and or driver license. You can say that your bank requests you to verify identity to avoid embarrassment.
Post a Warning Message
On your order page you may want to consider warning people of the following security measures.
• You are logging I.P. addresses. (even if you aren't, its a deterrent)
• You are using an address verification system. (even if you aren't, its a deterrent)
• You dont accept order form Indonesia or Nigeria . (you can be diplomatic and say its due to difficulties with shipping)
Verify Charging Information
If you are unsure of an order, advise the customer that you require them to contact their credit card provider and request the exact time that the order was processed. Again you can say your bank requires you do this to avoid embarassment. Credit card companies require callers to identify themselves before releasing that information. Therefore to get it the customer would have had to of gotten through the credit card companies security checks. If you don't hear back from the customer it's likely it was a fraudulent order. If they do get back to you with a time, you can cross check that with the time you put the order through.
Request Signature on Delivery
Not always possible, depending on what sort of business you are in.
Record Fraudulent Orders
Fraudsters are notoriously persistent trying to place orders at the same sites, just because they didn't get through the first time certainly won't stop them trying their luck again and again. Ideally, your website will store the details of orders you have previously identified as fraudulent so that if someone tries to place another order with the same ip address, credit card number, name or delivery address your website will automatically identify them.
Advise Customers What Will Appear On Their Statement.
Avoiding charge backs is what it's all about. The last thing you want is someone who has placed a legitimate order with you contacting their credit card provider to dispute a charge because the name on their statement doesn't clearly indicate that it was a purchase from your store. This can be a trap if your merchant account is in a trading name. For example, how is a customer to know that a charge by xyz pty ltd was for the widget they bought online 2 months ago? This can also be a problem if you use a payment gateway that processes your cards as it is likely that it will be their name that appears on your clients account. In these cases you may need to advise customers what will appear on their statement to avoid unnecessary charge backs.
Train Your Staff
Whatever procedures you put in place to prevent fraud make sure that the appropriate staff are trained in them. It's advisable to have them written down and easily accessible.
Offer Alternative Payment Methods
You don't have to take credit cards. Some alternatives to consider are:
• BPAY
• EFT (Electronic Funds Transfer via the customers Internet Banking)
• Pay Pal (used by millions of buyers and sellers worldwide, preferred method of sending and receiving payment on eBAY)
• COD.
If You're Not Sure...Don't Do It!!
If after doing your checks you are still unsure, then it's better to politely decline the order and lose the sale rather than run the risk of losing your stock to thieves. |
