Chargeback Prevention Starts with Fraud Prevention

Dollar sign with arrow around icon vector, filled flat glyph, solid colorful pictogram isolated on white. chargeback symbol, logo illustration

Chargeback prevention is one of the foremost concerns of online merchants. It’s always galling to have to send money in the wrong direction, and it’s even worse when the reason for it is outright fraud. With fraud, you’re not only out a sale but often, you lose your merchandise as well. Fortunately, there are ways to catch most of it before your products hit the shipping stream.

Use a Merchant Account with Fraud Prevention Tools

A merchant account that offers the right settings will, when those settings are properly tuned and activated, do much to increase your chargeback prevention success. Some of the typical options include automatic checking of the delivery zip code against the zip code of the credit card holder’s billing address, checking the card number against a database of stolen numbers, use of the Cardholder Dispute Resolution Network, instant notification of payment disputes, and more. The Cardholder Dispute Resolution Network is a fairly new system that allows chargeback and dispute information to be shared between card issuers and merchants and can let you spot a serial refund-seeker before you complete a transaction.

Manually Check Any Suspicious-Looking Order That Gets Through

Sometimes, even the best automated systems aren’t enough. This is why you should always check strange-looking orders – especially those for unusually-large amounts of merchandise – for fraud. Check Google Street View to see if the destination address is a vacant lot, look up the phone number the customer gave you as well as calling it, and check the origin area of the IP attached to the order.

These are some of the best ways to prevent online ordering fraud and the chargebacks that go with it. If you need a merchant account that will automate much of the work, just contact us. Our Chargeback Defense system is just what you need.

3 Reasons Why Your POS Needs to Handle EMV Chip Card Acceptance

Close up EMV chip credit card

Over the last few years, many credit and debit card issuers have added the EMV chip to their cards. These are the little golden spots on cards that look somewhat like mini circuit boards. Inside them, microprocessors are embedded that encrypt data and make it more secure during transactions. There are many upsides to enabling your point-of-sale (POS) equipment for reading these chips. Here are some of the main benefits:

Transactions Gain a New Layer of Protection

Use of the EMV chip cards thwarts the use of skimmers, which steal information from swiped credit cards. They also prevent other forms of “sniffing” credit card numbers and transaction information done with other methods. Many customers are wary of such risks thanks to extensive media coverage about such fraud. These people will be glad to be able to use their chip cards, and some may even shy away from doing business with you if you don’t have it.

You’ll Lower Your Legal Liability

If someone gets their data stolen and points at your company, you’ll want to be able to show that you took all reasonable steps to protect their information. This includes using an EMV-capable card reader.

Your Company Will Be Seen as More Up to Date

EMV chip card acceptance has now been around long enough that people are seeing it as the standard. If your store or other outlets still force everyone to swipe their cards, it’ll be seen as a bit behind the times. In some areas, customers may even comment to this effect. Make sure you give the impression of being fully ready for modern business by adding this basic upgrade to your POS systems.

To learn more about upgrading your system to read EMV chips, just contact us. We’ll be glad to explain the technology and give more details about what makes updating worthwhile.

Why It’s Important for Your Payment Processor to Offer a Free Authorize.net Gateway

Authorize.net

In order to accept online payments, a business has to have a special gateway to connect to the processing system. One of the most-used and trouble-free solutions is to use Authorize.net, which is the leading provider of online payment gateways. Authorize.net can also process transactions that are entered directly into its system, so it’s easy for you to sell products and services from a remote, but physical location such as a fair. Getting setup with them, however, requires going through a payment processing company – they do not deal directly with end-users.

Some processors charge high set-up fees to add Authorize.net to your account because they know that your only other option is to use a less well-known, and possibly unreliable, solution. This adds expense to your set-up cost that, as it turns out, is entirely avoidable.

Avoiding the set-up cost is simple. All you need to do is choose a provider that offers a free authorize.net gateway as part of its package. Then, you not only get free access to Authorize.net, but the account creation is done for you. You’ll just need to take care of the technical details of connecting your site, something your merchant services agent can likely help you do. With many shopping cart software options, all you need to do for this is enter your account number into the relevant fields.

BAMS, a leading payment processor, does more than just give you the free gateway. They provide physical payment solutions as well as virtual ones, and they examine your application to find cost savings for you whenever possible. This makes it easy for you to get all of your payment needs handled under one roof at the lowest possible cost. To learn more, just contact us and we’ll explain all that you need to know.