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Fraud Prevention eCommerce (CNP)
The day business moved online, the fraudsters moved right in too. As long as there is business being done, there will be individuals trying to steal from all constituents, merchants, consumers and supporting service providers. The problem is, when it comes to eCommerce fraud there are very few people in the world that actually understand it well enough to stop it. Preventing eCommerce fraud isn't something they will teach you in college, and you are more likely to get a merchant to tell you who their suppliers are versus telling you what they do to prevent fraud in their business. Fraud prevention isn't something most companies want to discuss and they view their practices as highly confidential.
make it official - enroll now to get become a certified ecommerce fraud Professional.
Getting yourself a fraud training certification will improve your ability to prevent fraud while increasing your value and potential for advancement with your employer. The Fraud Practice offers 8 career paths and over 30 training courses related to e-commerce payments and fraud prevention. Check out our training options.read more
are you a small business looking for a fraud solution that makes financial sense?
The Fraud Practice works with merchants of all sizes from startups to fortune 50 and in all verticals around the world to negotiate and setup fraud strategies. We know what is available in the market and what works best for each vertical. We also know where you can get the best possible pricing terms.
- Device Identification. Device Identification is a technique used to establish a "fingerprint" of a users computer or other web access device in order to track their activity and determine linkages between other devices.
- IP Geolocation. Geolocation services provide detailed information about a consumer's worldwide location, line speed, domain, etc. It is used primarily to verify the consumer’s data to determine where the consumer is at the time of purchase. Geolocation Services can be used for fraud prevention and also be used for export and regulatory compliance.
- Reverse Lookups Phone/Address/Email. The reverse lookup is used to cross check the address and phone information a consumer has provided to you with a third-party resource to verify that the public records show the same consumer’s name is associated with the provided address and phone information.
- Identity Authentication. Electronic Identity authentication is the ability to collect, authenticate and confirm the personally identifiable information provided by a end user. This could be as simple as being able to match a name, address and phone number, to verifying more specific data such as date of birth, social security number or national identity number.
- Rule Engines. The rules engine is a middleware application that allows the creation and prioritization of rules to be used in managing fraud. These engines allow merchants to create rules that will be evaluated on orders as they come in. The rules engine can have many different names, such as “decisioning software,” “management software” or “order management.” Most payment, CRM, and order management systems will have some of the capabilities to build and apply rules.
- Manual Review. Manual review is a technique in which merchants use staff members to perform manual checks on orders to determine which orders are fraudulent.
- Proxy Detection. Proxy Detection web services allow instant detection of anonymous IP addresses. While the use of a proxy is not a direct indicator of fraudulent behavior, it can be a useful indicator when combined with other data elements to determine if an individual is attempting to hide their true identity.
- Address Verification Services (AVS). Address Verification Services (AVS) is a tool provided by credit card associations and issuing banks to allow merchants to check the submitted billing address in order to see if it is on file with the issuing bank. The AVS check is usually done as part of a merchant’s request for authorization on the credit card. When a merchant makes a request, the address is checked against the address on file at the issuing bank. AVS is supported in the United States, Canada and the UK. Visa, MasterCard, American Express and Discover Card all support AVS. For other card types check with your payment processor.
- Verified by Visa. Verified by Visa is an emerging tool that is intended to validate that the authorized credit card holder is the one actually attempting to make a purchase.
The Introduction to eCommerce Fraud Fundamentals training course provides participants foundation level knowledge about the theories, best practices and terminology surrounding electronic payment fraud. Presented in a standard format covering the history of eCommerce Fraud, consumer fraud, merchant fraud, fraudster motivation, fraud trends, identity verification and phishing.
Navigating the eCommerce fraud landscape can be difficult if you don’t have a good understanding of the underlying terminology, lingo and technology that is available. The eCommerce channel is still relatively young, and everyone from your peers to solution providers, from associations to the media will be trying to tell you they know how to prevent fraud in your business better than you do. The reality is, what you hear will typically only represent partial pictures. For example, most merchants just starting to do business online believe they will be protected from fraud by the tools offered from the card associations. The reality is, while these tools provide some protection they will not be enough to prevent fraud from occurring.
Fraud Solution Provider Landscape. The Fraud Solution Provider Competitive Lanscape is a prepared research document, 31 pages in length, intended for organizations looking to gain an introductory understanding to the fraud solution marketplace and the the fraud solution providers servicing that market. The competitive landscape document makes references to over 100 fraud solution providers.
- Address Verification Service (AVS)
- Advanced Address Verification (AAV)
- Age Verification
- Authorization (Real Time)
- Behavioral Monitoring
- Bin Check Credit Cards
- Card Security Schemes
- Case Management (CSR) Tools
- Chargeback Insurance
- Chargeback Recovery Services
- Chargeback Representment
- Charge Verification
- Check Verification Services
- Consumer Authentication
- Credit Check
- Data Sharing Bureaus
- Deposit Check
- Delivery Address Verification
- Denied Party Check
- Device Identification
- Digital Signatures
- eCommerce Insurance
- Email Authentication
- Escrow Services
- Fraud Scoring
- Freight Forwarders
- Guaranteed Payments
- Hot Lists, Warm Lists and Positive Lists
- Identity Authentication
- Identity Document Verification
- Internal Rules
- IP Geolocation
- Manual Review
- MasterCard SecureCode
- Mobile Phone Geolocating
- MOD 10 Checks
- On-Site Merchant Inspections
- Out of Pocket Checks
- Proxy Detection
- Retun Emails
- Reverse Lookups Phone/Address/Email
- Rule Engines
- Secure Tokens
- Smart Cards
- Spiders & Merchant Website Monitoring
- Telephone Identification
- Telephone Verification
- Velocity of Use
- Velocity of Change
- Verified by Visa VbV