TIPS FOR HIGH RISK MERCHANT ACCOUNT
HOLDERS ON IP DETECTION
All the high risk merchants should have
some knowledge of the technical aspect
of processing of credit cards. It is not
necessary that they become experts but
some practical knowledge will help them
to run their merchant account smoothly.
The fact is doing business on the
internet involves a lot of risk compared
to the conventional method. Merchants
who are smart will not get into e –
commerce without having a practical
knowledge as to how the billing process
is completed via credit cards.
The providers of high risk merchant
accounts will use a wide variety of
methods to lessen the number of charge
backs like proxy server identification,
IP address detection, credit card
validation and restricting the use of
unnamed email addresses.
Unnamed Email Addresses
The account providers will make sure
that the shipping address, credit card,
zip code, phone number and email address
are valid. It is wise to reject owners
of credit cards who give anonymous or
email addresses from free providers such
@gmail.com, @hotmail.com and @yahoo.com.
Validation of Credit Cards and other
Issues
All merchants require integrating a
validation system with their customer’s
issuing banks. To increase the degree of
security, the merchants will double
check to see if the zip code and phone
number matches including the billing
address. Some go to the extent of not
doing business with people from high
risk places.
How does detection of IP Address Work
Merchants can make their payment system
more secure by detecting and storing
their customers “IP addresses”. Security
is the highest priority while selling
and buying online.
In fact, you will attract more
legitimate customers by providing such
security measures like “IP Geolocation”
to protect them against credit card
fraud. Scammers can hide behind the
anonymous email addresses’ and also
proxy servers. In such cases the
merchants should filter doubtful IP
addresses’. The process works like this:
1)
The Merchants find out IP Addresses by
using advanced technologies such as “IP
Geolocation” and then validate it using
“IP Validation” technologies. It might
be categorized by the country, area
code, address or zip code.
2)
The IP Validation and geolocation
technologies identify the location of
the user, accurately, and compare it
with the billing address mentioned in
his account.
3)
The Merchants analyze and double check
the transactions and finally filter
legitimate from the illegitimate
transactions. They also block out
transactions which are considered as
possible frauds and also all the
transactions from countries prone to
fraud.
Proxy Server Identification
The technologies, IP address detection
and Proxy Server Identification, go hand
in hand. Merchants will find it
difficult to detect IP addresses of
customers hiding behind unnamed proxy
servers.
Proxy Server
The Proxy Server is used to increase the
performance of a network by using some
form of caching system. A cache is a
provisional storage for web pages that
are viewed most recently. Its primary
purpose is to increase the efficiency of
networks by caching web pages and images
that were downloaded recently. Contact
one of our helpful account
representatives to assist you in the
setup of
a
high risk merchant account or
offshore merchant account for a
high risk merchant. |