Archive for the ‘Merchant Fraud Prevention, Credit Card Fraud’ Category

Customer Does Not Recognize Charge

Monday, September 14th, 2009

scratching_headDoes your website list you as “XYZ” when you charge your customers as “ABC”?

This is one of the largest contributing causes to Merchant Chargebacks and is easily remedied.

Many of you have a second website that shares the same common merchant account through the use of an additional Terminal ID.

While this is somewhat “normal”, you need to make certain that your customers understand “who” will be charging their credit card or you may find yourself in for an unpleasant surprise.

The main reason customers charge back is that they don’t recognize the name of the company that made the charge.

This can cost both time, aggravation, and yes… MONEY!

Can you afford to have your funds for a sold order taken out of your account without notice, only to find that the buyer simply did not recognize your charge?

Take the time to insure that your website DETAILS EXACTLY how the charge will appear and also include this information in emails and customer correspondence.

EDUCATE your customer, IDENTIFY your name that you charge with, and REDUCE your expenses for unwarranted charge backs.

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Chargebacks for Fraud

Monday, September 14th, 2009

fraudYour mail is here, and in it is a blue envelope from your Merchant Processor informing you that you’ve got a chargeback from a fraudulent order.

Emotions run the gamut, and you are justifiably angry that someone has stolen from you.

Here’s some tips to keep it from happening again!

1. Verify – Call the customer. Bad phone number = Red Flag
2. Verify – Email the customer. No reply = Another Red Flag
3. Zip Code Matches AVS, but not the Address = Yes, Another Red Flag
4. Billing Address is a Match, but Shipping Address is Different = Red Flag

If you have a suspect order and any of the above criteria comes into play, you need to stop and DON’T CHARGE THE CARD until you complete further verification.

In many cases the “Fraudsters” will communicate with you and try to get you to complete their order.

A good method to verify a customer you are worried about, but with otherwise good address and contact info is to charge a low, odd amount (like .76 cents) and have the “Customer” tell you the amount of the charge and in that way you know that they have access to the highest levels of the account.

Feel free to contact us at 800-996-6127 for further ways to combat fraud, verify or identify suspect orders, and to learn how to take action to apprehend those that commit fraud against you.

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Verifying International Credit Cards

Tuesday, September 8th, 2009

Abstract international gold credit cardI initially posted this a couple of years ago and it has gone to Archive Heaven.. Good if you need it….

International Telex Verification

To use it, call the normal card authorization phone number (800) 228-1122 and hold for an agent.

Don’t press ANY selection for a destination or you will get trapped and eventually dumped. Just wait. I waited nearly three minutes. Your mileage may vary.

Once an agent comes on, state that you have an International Address to Verify.

The agent will request cardholder information and will ask for the address you have. They will also ask for your merchant number.

If the Issuing Bank is available at the time of the call, the Issuing Bank will be contacted by a telex operator.

If the Issuing Bank is NOT available or cannot be reached via phone, the telex operator will take down all appropriate information & contact the merchant/representative once the Issuing Bank has responded to the inquiry.

In this case, they stated that they would Telex the bank in Tasmania, Australia that served the customer I was verifying and return with a verification call within 24 hours. They did exactly that and confirmed the address.

This service is not for any particular provider or bank. If you are a merchant on the First Data Platform, which most of us are, you can use it now to verify those international orders you want to ship.

There is no cost to use this service.

If you use this and find that the verification info routine has changed or you find a new number, please comment this post for the benefit of others.

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