The Right Tools To Mange Fraud
Why You Need the Right Tools to Manage Payment Fraud
Online payment fraud is becoming both more common and more sophisticated. And this spells bad news for online merchants. The revenue lost from payment fraud—either through chargebacks or declined purchases—reached an impressive $42 billion in 2018.
Protecting your business from payment fraud now proves more important than ever before. With the right payment fraud prevention mechanisms in place, you can significantly reduce fraudulent transactions.
Because of the complexity of online payment fraud, you need a company that works for you. Our expert staff and tailored system have the tools necessary to protect your business. And while nothing can ever fully eliminate payment fraud, we work to drastically reduce its occurrence. In doing so, we can save you thousands, if not millions, in lost fees.
Understanding payment fraud takes time. Below, we’ve provided a comprehensive overview of the information you need to know in order to protect your business.
Chargebacks and Declined Purchases Both Prove Costly
You likely already know how expensive chargebacks can be. If a fraudulent payment is approved, the resulting chargeback from the issuing bank can be annoying. As these fees begin to add up, however, they become more than annoying. They become costly.
What many business owners don’t realize, however, is that they also lose money from declined transactions. When a thief attempts to use another’s card and it’s declined, your business may be footing the bill. If you don’t want to be paying for either of these, you need a new solution. You need a mechanism that will detect fraudulent payments before they’re declined—or worse, approved.
You need a powerful service like us. We can help identify fraudulent payments in a matter of milliseconds, helping you save more money than ever. Say goodbye to a significant amount of charge offs and declined card fees with our powerful fraud-detecting tools.
Types of Fraud
That being said, not all types of fraud are created equally. Ranging from basic to highly-sophisticated, payment fraud encompasses varying degrees of attacks. In order to enjoy real protection, you need a service that can protect you from them all. Our integrated tools can help you catch even the most sophisticated of fraud attempts.
Understanding the different types of fraud can help protect your business. Consider the following information below:
• Friendly Fraud
As you may have guessed from its name, friendly fraud isn’t always sinister. In fact, even the most well-meaning of individuals can be guilty of friendly fraud.
No matter the intention, however, this fraud can cost you money.
Friendly fraud can occur when a customer disputes a purchase they don’t remember making. Instead of checking to see if they did make it, customers challenge it with their banks.
If the banks approve the dispute, you’ll be responsible for a costly chargeback—even if the customer is in the wrong.
We can handle these disputes for you or provide you the tools to build a case for yourself. In these situations, timely action is necessary to securing the best results. Let us help you not pay another dime that you don’t owe.
• Card Testing
Card testing is a simple, yet sinister, form of credit card fraud. Under this system, hackers run a number of different cards through a merchant to see which ones will be approved for a purchase.
Once an active card is discovered, the hacker will then proceed to buy high-ticket items. The initial testing usually involves several small purchases—something our smart-learning fraud protection mechanisms can detect.
• Session Hijacking
A more complex form of payment fraud, session hijacking involves stealing payment information while a transaction is in session.
The hacker will then open a background window to use this payment information to complete other purchases.
• Synthetic Identity Fraud
Synthetic identity fraud involves creating a whole new identity—and even bank account—to pull off a fraudulent purchase.
The good news is that sometimes the issuing bank will incur the costs of these transactions. Because they’re the ones who approved the false bank account, they may sometimes take responsibility.
The bad news is that if they choose not to, the costs fall on you.
How Our Fraud-Detecting Tools Help You
Our tools utilize a leading combination of supervised and unsupervised machine learning to bring you the best results possible. These machine learning tools can help detect payment irregularities to shut down fraud attempts before they have a chance to get started. Our powerful protection options can end a fraud attempt in a matter of milliseconds. No matter the stage of the payment, however, we can help you.
From stopping frauds from the beginning to helping you resolve unnecessary chargebacks, we provide support every step of the way. Our real-time fraud detecting services protect you. We can detect if a transaction is fraudulent before it’s approved or declined by the bank. This means that you won’t be responsible for costly chargebacks and fees.
Additionally, we can help you avoid chargebacks even after a payment occurs. To do this, we’ve partnered with powerful companies to know just when a bank discovers a fraudulent payment. Then, we’ll work with you to resolve the dispute with the customer—without getting the banks involved. Finally, if you’ve received a false chargeback, we’ll help you make your case. Investing in our fraud protection services can save your business money.
Call or contact us today to find out more and to see how you can get protected.
- National Transaction Corporation
- February 19, 2023 | 2023-02-19