subject: Using Bin Number List Databases To Avoid Common Credit Card Fraud [print this page] Business owners throughout the globe are affected to the tune of millions of dollars worth of damages through credit card fraud every single year. With more and more types of credit card fraud coming about using the many types of credit cards and fraudulent transactions, business owners need to find methods that can be used to reduce the instance of fraudulent transactions that occur in the business.
Common Types of Credit Card Fraud that can be reduced by Bin Number List Services include:
Fraudulent Charge-backs
One of the increasingly used types of credit card fraud that can be reduced through the use of the bin number list database services include the instance of fraudulent users completing the transactions and refuting the charges to have the charges refunded to the account, resulting in the charge back affecting the business owner by causing the business owner to lose out on the proceeds of the sale - while the customer has the refund and the products or services that were purchased using the credit card.
Credit Card Skimming
Credit card skimming occurs when the information from the credit card has been copied from a credit card machine or copied from a credit card terminal that the original account holder has used. The information is copied to a blank credit card, or scanned and can be used to create identity theft and credit card fraud when used through online retailers. This popular scam is becoming more and more prevalent and can be reduced when merchants use the bin number list directories that are available to verify the information being presented with the credit card.
How can bin number lists prevent credit card fraud?
Bin number lists directories can help to prevent credit card fraud by simply allowing the merchant to compare the information on the credit card with the information that is being provided when the customer is checking out. In the database, the merchant is able to determine the type of credit card, as well as the issuing country of the credit card - and compare the information with the account holder to the information that is provided at check out. In the instance that the information does not match there is common red flags that occur in the system allowing the merchant to manually approve the credit card transaction that is taking place.
In addition, the bin number lists enable the merchant to confirm the type of credit card that is being used to complete the transaction. Prepaid credit cards are being commonly used throughout fraudulent credit card transactions, causing many business owners to flag these types of transactions, especially when the information provided through the online database system doesn't match the information provided through the checkout process for the online store, or through the verification process of a traditional store.
Subscription services are an affordable way for the merchant and business owner to safeguard the credit card transactions that are being completed, protecting the business from the common types of credit card fraud that occur.
