Hi guys,

Let's make a list of ways ( I hope that ways will help for everyone) how to deal with frauders.
What services you are using?
What billing system are you using?

Here are a few things that I do (using WHMCS):

1. Use MaxMind fraud protection system.
2. Manually review every order before being approved.
3. Check and verify PayPal payments to make sure it matches the clients.
4. Put up a fraud warning for all fraudsters to see during the checkout process.

So far this has worked very well.

A couple of other things that I have found helpful in rooting out fraud.

Email addresses that have a blatantly different name than the credit card being used and are typically a free email account.

Whois lookup. If they registered the domain that day or a few days ago, there is a higher chance of fraud. If they've had the domain for year, it's unlikely that it's fraudulent. Also, watch for domains registered under a different name than the credit card being used for the purchase.

We all dislike fraud and it's illegal. Hope this helps someone.

I'll second HostLeet on the MaxMind and Voice Calling customers.

Max mind is actually really nice. It's definitely a must for all orders.

No free services with the hope they sign up for real. You'll only get bad news.

Voice-Calling customers is indeed a great way of verification - though it can also be ineffective if you're up against a cunning bloke.

MaxMind is possibly the best answer.

Maxmind is a great tool but only gets about 80% of the scammers. We always manually verify orders on top of maxmind, but maxmind definitely makes it easier by getting rid of most of em.

Proxys are a given, look at the IP address, if it has a reverse DNS a proxy will usually be obvious compared to a residential or business connection. If it doesn't have a reverse DNS, then use Google to search the IP and see what comes up.

Just discovered a bogus $4000 order by voice calling verification. Can never be too careful.

Fraud orders are generally for expensive plan so just when you get such order, Be alert!.

Basically what we also do, some still get through the net but less than one order a month.