The online gaming industry is ripe for fraud. They games deal with many, low-cost transactions that need to be approved in real time, so it does not ruin games for players. The almost real-time nature of these transactions makes it more difficult to catch fraudsters before it’s too late. Fraudsters continue to get more sophisticated. They are always looking for...
By now, everyone knows that Facebook not only cashed in the rampant friendly fraud generated by kids unintentionally or without parents’ knowledge downloading games from the platform, but it encouraged the practice. A few years ago, the social media giant informed its employees of friendly fraud and explained how it should not try to block it. The result was some...
Losses caused by online payment fraud aren’t expected to stop. Currently, they’re even greater than what you could find some years ago. The growth in fraud is driven by a continued epidemic of data breaches. If you want to learn what Juniper Research forecasts concerning online fraud and where you can get the best protection from payment fraud, just go...
Protect Your Business from Fraud One of the biggest ways for your business to lose money is to not work to fight real and friendly fraud. If you do not keep them under control, your business will be looking at a lot of chargebacks, which is when a card issuer requires a merchant refund a disputed or fraudulent transaction. Too...
In the payments industry, many discuss a variety of ways of cutting chargebacks, but the most efficient way may be through e-contracts. What are E-contracts? E-contracts, also known as electronic contracts, work just like paper contracts. They outline the terms and conditions of agreements for the parties involved. They are signed via computer apps or through email, and if they...
A chargeback representment is a process in which a merchant disputes a chargeback. Merchants must fight chargebacks, which are when credit card companies demand businesses refund the losses of disputed or fraudulent purchases, or work to prevent them or face fees and possible merchant account termination. Whenever a merchant opts to fight a chargeback, it enters the representment process. Representment...
In the simplest of terms, chargebacks are when cardholder banks force merchants to reverse transactions. This can appear similar to a traditional refund, but it’s not. The difference is that a customer is not asking a merchant for repayment of an item or service they bought. Instead, the credit card company’s bank takes the funds from the business’ account based...
Friendly fraud is when a cardholder claims a refund for a purchase they or their relatives actually made. The scam has become popular and a burden to merchants, even pushing market experts like Ethoca, a commerce firm to investigate its prevalence across different industries. And the result; while friendly fraud occurs across all industries, the frequency is higher in specific...
Technology has opened up endless doors of opportunity. As it evolves, technology continues to support new ways of doing business and expands card not present transactions. Businesses have more solutions than ever, and customers have a wider array of payment options than ever before. However, advances in technology have also created new opportunities for fraud. Botnet attack and static biometric...
Chargebacks are a merchant’s worse nightmare. They not only eat away at your time and energy, but they seriously chip away at your business’ bottom line. Chargebacks are one of those things to try to avoid at all costs. If chargebacks are a big concern and issue for your business, consider the following ways you can handle customer disputes and...
