The world of ecommerce has grown dramatically in the last few years, as small and medium-sized businesses have begun to include online shopping as part of their standard business model. Unlike traditional brick-and-mortar stores, detecting fraudulent behaviour can be difficult, and can leave this retail environment vulnerable to credit card fraud if you’re not careful.
Consider the following three signs that your ecommerce store could be vulnerable to credit card fraud, and if their solutions would be something that you should adopt!
An Outdated Ecommerce Solution
Just like your cell phone or computer, your ecommerce solution needs to be upgraded from time to time to ensure that it’s up to date with modern system requirements. If you have been using the same ecommerce solution for some time without any upgrades, you may want to consider speaking to a payment processor representative about newer options. Even adding basic fraud prevention tools can lessen your risk of credit card fraud.
No Fraud Prevention Tools in Place
Fraud prevention tools within your ecommerce solution might sound like an expensive or tedious feature that only the big businesses can afford to do, but you might be surprised that this simply isn’t the case. Implementing fraud prevention tools is one of the easiest ways to minimize your exposure to online credit card fraud, and there are a number of affordable features on the market – even free, depending on your payment processor – including:
- CVV (Card Verification Value)
- AVS (Address Verification Service)
- 3D Secure.
These tools are easy to add into your ecommerce solution, and help you protect your online store from credit card fraud.
No Limits to Purchase Amounts
A common tactic fraudsters use to max out of stolen credit card information is to use it to make high-value purchases, even from stores that don’t typically attract big spenders. If your ecommerce store doesn’t have limitations on total purchase amounts, setting restrictions may be a simple solution that can end up saving you in the future. Consider the average cost of your products, and average total bill for both in-store and online customers, and use that to decide the highest purchase amount you can reasonably expect to be made online. Setting a purchase limit that’s slightly over this value will ensure customers can make reasonable online purchases.
To learn more about up-to-date fraud prevention techniques, make sure to check out our blogs A Fraud Prevention Checklist For Customer-Facing Businesses and The Types and Signs of Retail Return Fraud.
The information in this article is provided solely for informational purposes and is not intended to be legal, business or other professional advice or an endorsement of any of the websites or services listed.