Techniques in credit card fraud are becoming more prevalent and more sophisticated every second. The very same technology that allows merchants to accept credit card payments are now helping criminals to rip them off. Every year, credit card, check, mail, and Internet fraud costs Americans billions of dollars. As a business owner, you are the first to feel the financial effects, and the cost is usually very severe: loss of conversion payments, chargeback penalties, goods, and services. If you are accepting credit card payments and would like to reduce your exposure to credit card fraud, implementing preventative measures can reduce your chances of becoming a victim up to 80%.
The Internet is developed into the perfect environment for criminals to excel in their work, while staying completely anonymous. Over the past few years, there has been a significant increase in fraudulent charges made with stolen credit card information. In many situations, the cyber criminal has collected more detailed information about the actual credit card holder than the credit card company actually has on file. In some situations, fake credit card numbers receive are approved solely on the algorithm used to produce authentic numbers.
There are now accessible software programs that generate mathematically-valid, fake credit card numbers for cyber criminals who make fraud their career. This is serious business for any company who accepts credit card processing payments. What can you do, as a merchant, to protect your business and your customers from fraud, while continually accepting credit card payments? There are several steps that you can take to prevent your business from being taken advantage of by credit card fraud in the first place.
When you hold a customer’s credit card in your hand, check the security features and swipe the stripe. It’s safer than keying the numbers by hand. Match the number on the card to the last four digits on your display. Then check the authorization response, if its approved, ask the customer to sign the sales receipt and make sure the signature matches the one on the card. If you cannot swipe the card and must enter the number manually, check the account number and verify the expiration date. Use fraud tools, like the Address Verification System (AVS) – a nationwide system used to verify the identity of a person claiming to own the card.
You should also look for signs that a criminal may display. Watch for customers who purchase a lot of merchandise with no regard to size, color, style, or price. Or customers who make big purchases without asking any questions right after you open, or before you close. Finally, if a customer tries to rush you through the check-out process in these circumstances may be hiding their true intentions.
The greatest way to protect your business’ credit card processing services from fraud is with a company who proactively prevents it. Veritrans has the credit card processing fraud prevention your business needs with superior quality service and no hidden fees. Guaranteed. Veritrans offers retail, wireless, online, and MOTO processing for all types of major brand cards: Visa, MasterCard, American Express, Discover, JCB (Japan’s Credit Card), Pin-based debit cards and EBT (food stamps) cards. Even if you already have an account somewhere else, call Veritrans for a free and confidential analysis of your current contract and fees. We will protect you from fraud, and help you understand and walk you through our cost-effective card processing service solutions.
