Proactive Measures To Prevent Internet Fraud Can Save You Hassles Of Indictment

In today’s highly connected online world, it is inevitable for businesses to establish an online presence. With increasing digitalization more and more business is being conducted online. However, online business comes with it’s own set of risks. You need to take steps to protect your online business from fraudsters. The true cost of a bad transaction consists of lost merchandise, profit loss and bank fees. The cost of shipping, sourcing and managing chargebacks has also to be considered while determining impact of fraud. Thus, fraud can lead to considerable losses. According to Payza’s Firoz Patel, indictment is very difficult in case of internet frauds hence the best option is to have a solid cybersecurity strategy in place.

Internet Fraud Warning Signs

These are the warning signs that can help you detect an internet fraud:

  • First Time ShoppersToo many new accounts may suggest criminal activity as fraudsters are always trying to test credit cards on unsuspecting sites. Most online shoppers have a shopping history. You should look out for users who create email accounts only to purchase with stolen credit cards. These credit card numbers are usually obtained via spam and identity theft.
  • Suspicious Orders
    If there is a large order it could be a fraudster trying to make as much as possible of a single order. The fraudster may be using a stolen credit card and the credit card may get cancelled at any time hence the rush to maximize utilization of the card via a single large order.
  • Out-Of-The-Ordinary Shopping
    Fraudsters are always trying to rush their orders as the real card holder may cancel the transaction. Thus ‘overnight’ shipping orders may be indicators of fraud. While increase in number of global customers may mean business growth, it can also be an indicator of online organised crimes or purchases made from stolen credit cards.
  • Non-Matching Data
    Always be careful of non-matching data points. It there are multiple accounts and credit cards sharing the same shipping address it could be a single user using many stolen credit cards. Multiple accounts and shipping address that share a single billing address may indicate organised criminal activity. You should be careful of orders with difference in billing and shipping address, telephone area codes and zip codes and orders at odd times of the day.
  • Too Many Credit Cards
    Look out for any transaction with more number of credit cards associated with a single IP account as it may mean fraud.
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