How to Prevent Fraud on Your Website

As the growth of the internet has exploded, so haseach other
thenumber of attempts to exploit the powerful medium.7. US billing address, foreign shipping address
In this day and age, evensmall websites have to worry8. Email address from a free account provider (Yahoo,
about protecting themselves from fraud. WhatHotmail, Gmail, etc)
aresome ways that the small business owner canImplement IP Address Blocking: Most credit card
protect their e-commerce websitefrom theseprocessors provideyou with the ability to block certain
fraudsters? The following article will suggest someIP address from visitors who repeatedlyare attempting
easy preventativeactions that can thwart online fraud.credit card transactions. If the transaction meets
certaincriteria, you can have the visitor redirected to an
1. Review Every Order: Although it may be veryerror page that containsthe info for your customer
tedious, the benefits of reviewing every order areservice.
many. In many cases, simply spending 10 secondsWatch for Email Bounces: Most websites automatically
looking at an order will catch many obvious cons. Forsend emails tocustomers once an order has been
example, if the first name is something like "fasdfsdf"submitted. Since many fraudsters use invalidemail
than you probably don't have a legitimate order. Manyaddresses, its important to monitor which orders come
fraudsters are simply testing credit cards and have noback with aninvalid email bounce.
intention of actually receiving merchandise. However, ifIt's important to take the above suggestions with a
not reviewed, orders like this can accidentally begrain of salt. While allof these ideas will be helpful, you
shipped and the merchandise will be lost.can't take any single one in isolation oryou might flag a
2. Watch for Obvious Signs: The following arelegitimate order as fraud. Usually a fraudulent order
common signs of fraud:willmanifest many of the above signs, not just one. The
3. Order contains large quantities of the same itemwebsite owner must alwayslive by the ethic that its
4. Order contains most expensive products availablebetter to flag a fraudulent order as legitimaterather
(they don't are about the price when its not theirthan flagging a legitimate order as fraud.
money)While online fraud will never be fully prevented, there
5. Overnight shipping (fraudsters want to receive theare many ways tomitigate it. Hopefully, the above
order before the credit card is reported stolen)ideas will help you filter out these annoyingcriminals as
6. Billing and Shipping name and address different frommuch as possible.