We have already discussed common types of credit card fraud and what to do if your business’s credit has been targeted. Today, we will talk about how to protect your e-commerce business from credit card fraud.
How to protect your ecommerce business from credit card fraud
Online shopping has created an environment that can be easily exploited by criminals. Because the physical card does not need to be present at the time of purchase, these transactions are more vulnerable to fraud. This is because criminals do not need to replicate some of the physical security features on credit cards and can use stolen account information more easily.
Look for suspicious activities
- First Time Shoppers. Criminals are constantly finding new victims. These victims are not likely to be your existing customers.
- Multiple orders from different cards from a single IP address. Multiple cards being used from the same IP address can often be a criminal using stolen account information to purchase goods.
- Orders shipped to the same address but with multiple credit card account numbers. It is unlikely that the same household will make multiple purchases from the same merchant with many different credit card numbers.
- Many orders from one credit card account in a short period of time. This may be a criminal trying to maximize the credit limit of the account before it is reported as lost or stolen.
- Transactions where the shipping address and billing address are in different countries. This may be a criminal shipping