Payments Frauds

[JodoHost1]

I know most of the Web-host accepting Web bassed payments too, i am seeking their experience to deal with online payments frauds.

How you deal with CC payments frauds?

and

if you can highlight the countries most you have seen the fraud occurring ?

 

[Matthew]

From memory the main countries are Turkey, Germany (AOL)... not sure if thats a GEOIP incorrect lookup though and I think around China also. I will have to check the records.

When a sale comes through we do several checks to ensure the order is real from IP matching the billing location, CVV, Name and address matching the domain registration details of the domain they are transferring and ocasionally a phone call should something look a little gray.

Anything that doesnt match is stopped asap.

 

[imported_etechsupport]

As per our experience most of the fraud orders usually are originated from Vietnam/Nigeria some what Russia also, in fact if you use your common sense as suggested by Mathew you can be able to detect a fraud order easily.

The fraudester usually choose an expensive plan and they provide very little info about billing address/identity etc.

 

[Matthew]

I forgot about Vietnam/Nigeria... Not had any that I remember from Russia though.

You are spot on about them choosing the expensive plan. Usually the most expensive shared plan and when we offered yearly accounts it was always the most expensive shared account money could buy.

I have found that it is not best to email and ask too many questions because they try to be very kind/friendly and talk about their little boy Bobby who the account is for and they are away on business etc... and thats why IP's dont match etc...

Just get the facts from them and if they cannot provide then refund them and forget about the order. It's not worth the charge back fee that comes a few months later.

It's easy to spot most fraud signups and they get cancelled right away.

 

[imported_etechsupport]

Yes it is better to refund them once you assume it is a fraud order.

 

[Francisco]

Yes it is better to refund them once you assume it is a fraud order.

I found out that even if the transaction is settled, and you refund them the next day, you can get a chargeback.

We did with a fraud order we caught the next day of setting it up, we had to pay the chargeback fees (around $30) and the % of transaction costs.

If you're going to cancel/refund a fraud order, it's better to VOID the transaction first, before it settles, that way, no chargeback can come to you.

 

[Matthew]

Interesting point there! I havent had problems with this happening before but it's something I am going to take note of next time an account is cancelled and refunded.

 

[ServiceNinja]

I've found it's best to call and verify orders yourself or through a third party. Basically just calling, asking if they placed the order and what not. If they didn't or you can't get a hold of them soon after the order then void it and you should be fine.