REDUCING ONLINE PHARMACY CREDIT CARD
Credit Card Fraud is the worst enemy of
an online merchant and the cardholder.
The cardholders only lose a few minutes
or hours to apply for the chargeback,
whereas the online merchants will lose
the money and the product because they
cannot track down the customer who took
Protecting your online business against
credit card fraud is very frustrating
and therefore, you should keep your self
up – to – date on the anti-fraud
technologies that are available in the
market. Eliminating or minimizing fraud
takes some time, but if you are not
aware of how it works then your efforts
may not be effective.
A fraudulent transaction occurs when a
customer makes purchases on your website
using a stolen credit card. Fraudsters
have several methods to get credit card
information, which they use for
purchasing. When the actual cardholder
sees his or her monthly statement, he
will go to his issuing bank and apply
for a chargeback. Once the chargeback is
approved by the bank, the online
merchant will have to refund the entire
money to the cardholder and also pay a
chargeback fee to the bank.
According to statistical data, online
merchants were charged over $500,000,000
as chargeback fees in the year 2006.
This does not include the loss due to
irretrievable products and the shipping
costs. By now you should have understood
the importance of providing security to
your online business.
Security can be provided at two levels:
ecommerce merchant level and ecommerce
merchant account level.
Gateway Merchant Account Level:
Any payment gateway can be attacked by
hackers. Therefore, it is very important
to get a payment gateway which is safe
and secure. Your payment gateway should
use the “SSL 128-bit encryption
technology” to protect all the
It is also use a few supplementary
modules provided by MasterCard or Visa.
Basically, your customers will be asked
to enter a second password with the
details of your credit card. This makes
it difficult for the fraudsters as they
have to acquire an additional detail.
There are several online verification
systems like “CW/CVC/CID and AVS” that
can provide additional security when
used. FSS or fraud scoring systems are
automated scripts which give a score
i.e. the percentage chance that this
order may be a fraud. This score is
generated by using the details of the
customer and the place of purchase.
E-Commerce Merchant Level:
The online merchants can minimize credit
card fraud by just analyzing the order.
The online shopping cart and the payment
gateway will provide the statistical
information for this purpose.
By analyzing the contact details,
shipping details, the location and the
purchase time, an online merchant will
be able to approximately judge the
authenticity of an order.
The online merchants must verify all the
orders placed before going ahead with
the transaction. This is why you should
switch the gateways and the shopping
cart scripts to the manual mode. The
best way to eliminate credit card fraud
is: call your customers to verify the
one of our helpful account
representatives to assist you in the
high risk merchant account or
offshore merchant account for a
high risk merchant.