subject: How To Detect Credit Card Fraud? [print this page] Nowadays, many merchants face a single problem that is credit card fraudulent transactions. Actually online scammers are trying to exploit the credit card details of some other people. They are using both traditional and advanced credit card fraud techniques for misusing the credit info of original owners of the card. It has been reported in many surveys that merchant bears a huge loss just because of chargeback from the card holders. A merchant has to bear chargeback fees and processing fee when he I going to prove himself the honest seller. Every credit card law protects the credit card holder not the merchant so it is better for him to know how to track credit card fraud and how to pay attention to a number of credit card fraud alert. So I am going to describe some ways with the mean of which he can detect credit cad fraud quite effortlessly
Be Careful to Process an order when "Bill to" address varies from "Ship to"
First credit card fraud alert that gives a warning to the merchant is when a shipping address of the merchant is different from the billing address. He needs to use some other screening method for validating the identity of credit card holder. For example, he can give a call to customer and ask different questions related to his identity. Although such questioning may be annoying for your customer but in this way you can effortlessly detect credit card fraud.
Too Many Declined Transactions in a Short Period of Time
Another credit card fraud alert for you is the too many transactions are declined a short time period. Actually when you demand the expiry date from a credit card holder in an order form then a genuine buyer can easily provide such information to you. Nevertheless, such information can not be provided easily by a scammer so he tries again and again till he succeeds.
A number of Orders from Same IP Address
A merchant can easily track credit card fraud by using IP address details of the buyer. For example, if he notices a number of order have been placed by the buyer from the same IP address then this situation is just like suspect credit card fraud. He should immediately take some precautionary measures for avoiding an online credit card fraud.
Order from a foreign country
A merchant must have an idea about the countries which have bad reputation in ecommerce field; mostly the residents of these countries are more involved in credit card fraudulent transactions than other. For example, whenever he gets an order from any Philippines then it is the time to take use more screening method for validating the identity of a buyer.
When Email Address of the Buyers Doesn't match with his name and Business
It is another alert that works best in credit card fraud detection. Email address of the person should somehow relate with his name and business. If there is no resemblance then it is the time to be some more careful and start using other methods of credit card fraud detection.
I just hope that this information will make it feasible for the merchant to properly check a credit card fraud.
