How A Bin Number List Can Prevent Credit Card Fraud
The online movement has increased the pace of business thousands fold
. The internet is where there are people consuming from businesses and businesses buying from each other at lightning speed. The fast paced market such as this creates an environment where mistakes can easily happen and when they do they can spell out disaster. Credit card fraud is one of these disasters that are hard to see but happen often. The best way to avoid situations such as this is to rely on tools such as a bin number list to weed out the bad consumers looking to get some free stuff.
Who Makes the Bin Number List?
The bin number list is something that was put into use by the ISO to ensure a standard system that can be used internationally. The bin is the identification number for banks and other institutions which are granted access to making cards. The bin number list is simply a large collection of bin numbers which lists any valid information about the cards and where they originate. The main reason this system is used is to verify that card numbers used without a physical presence actually exist. To do so would require an extreme amount of resources for verification so a simplified option was created.
The bin number list just lists the information about the cards such as the issuing banks, card type, brand and more. In addition, many of these services can also provide information on how to contact the bank if fraud is suspected. The banks are capable of dealing with money whenever the money is still available within the bank. If the person has gotten away without paying for instance, by using a fake number, there is no way to retrieve money if the money was never taken. The credit card processing services then cause the business to lose out because they lose their transaction, a fee for running fake numbers. They will also be out of the products they have shipped out or services that have been rendered with little to no chance of catching the crooks that performed the fraudulent transactions.
What the bin number list can be used for to create a better opportunity for businesses is to verify with the bank that the number exists. With the bin number list, any business can run a check for the card to find out where the bank is from. If it is in the bin number list proves that the card number is physically issued too far away, the losses may actually be prevented by reducing the chances of sending something overseas or to a rural location. The bin number list is essentially an early warning system that can be used to fight fraudsters easily by denying them service. A bin number list can easily detect generated numbers as they will not be listed anywhere within the bin number list, even though it may be accepted by the card processing service at first. The bin number list is simply one of the tools that is necessary for verifying electronic transactions before they go out.