Identifying Credit Card Fraud

Credit card fraud remains one of the biggest problems to plague ecommerce. For the most part, consumers accept the risk, knowing that they’re protected from liability if someone uses their card without authorization. This protection comes in the form of chargebacks, and merchants end up footing the bill.

Merchants are stuck accepting true fraud chargebacks and eating the associated costs and fees. The only real way to avoid true fraud chargebacks is to identify or prevent fraudulent transactions before they can be completed. How can merchants detect credit card fraud in time to stop it from happening?

Payment cards are easy to use because you only need to transmit a few simple numbers to the bank in order to identify your account and authorize the transaction. This simplicity makes them vulnerable as well, because it’s very hard to practice rigorous data security on a few simple numbers that must be shared with the parties you’re transacting with.

Full Text:
https://www.chargebackgurus.com/blog/credit-card-fraud-detection

©Chargeback Gurus 2021
Production: Tyler DeLarm
Narration: Sarah Rife