How to prevent payment fraud: Best technologies for your eCommerce business
Fraud can cause widespread damage to your eCommerce business. Unfortunately, fraud losses are just the tip of the iceberg.
Account takeovers and “customer insults” — mistaking legitimate shoppers for fraudsters — can cause damage to your reputation, not to mention losing your customers. The time it takes your fraud team to review suspicious transactions can be a drain on resources. And with around 50% of businesses suffering fraud,[1] no company is safe.
For eCommerce businesses, payment fraud prevention is critical to growth. Fortunately, there are more advanced technologies than ever to assess digital payment fraud risk and provide payment fraud protection.
Top payment fraud prevention technology options
Some of companies’ losses come from first-party misuse, perpetrated opportunistically by customers. Other bottom-line damage is attributable to true fraud, with organized gangs of fraudsters using stolen payment card information and identities to execute large-scale attacks.
By implementing versatile platforms that defend multiple aspects of your payment processing infrastructure, from account creation to shipping and beyond, you can take a stand against online payment fraud in all its forms.
Accertify Account Protection: Stop account takeovers and new account fraud
According to the Federal Trade Commission (FTC), billions of email addresses, passwords, and other sensitive customer data are exposed on the dark web each year, with consumers losing $8.8 billion in 12 months.[2]
Once bad actors get their hands on customer data, they can use it to take over existing accounts or open new, fraudulent ones. Merchants are then left in an uncomfortable situation. They’re forced to distinguish legitimate customers from fraudsters using stolen credit card information. If they fail and accuse the wrong users, they risk increased fraud losses and losing good customers whose accounts had been taken over. That’s where account protection comes in.
The technology helps you assess the legitimacy of account access. Loyal customers can be approved immediately, and suspicious logins blocked. This can result in a reduction in fraud losses and a more positive customer experience for your best customers.
Accertify Fraud Detection: A multi-layered payments fraud prevention methodology
It is estimated that there are more than 19.8 billion devices worldwide connected to the internet.[3] With so many always-on consumers, it’s critical that organizations can identify loyal, repeat customers and enable a seamless customer experience while simultaneously preventing malicious actors from spoofing their devices to commit fraud.
A user’s device provides valuable information. Characteristics such as screen resolution, language setting, and location reveal vital clues as to whether the user is a fraudster. But how do you get this information? Accertify Fraud Detection’s device intelligence functionality is the answer.
Accertify’s platform collects hundreds of data points about the device, connection, and location. In real-time, the data is analyzed using machine learning and verified against the billions of data points that flow through Accertify’s network. The result: confidence and trust in your ability to quickly and automatically discern who is on the other end of a digital transaction.
Device intelligence enables an optimized customer experience across both browser and mobile apps with a simple API integration and sub-second decisions. Proven and trusted by leading financial institutions and eCommerce merchants across the globe, our technology makes it simpler to protect your organization.
Machine learning: Identify trustworthy customers with advanced signals and analytics
When a new customer exhibits suspicious behavior, you’re stuck in a dilemma. Do you flag their transaction for review and risk upsetting them, or do you approve it and risk financial loss due to fraud? Machine learning can help with this predicament.
A powerful machine learning platform leverages community data, which enables you to review the new customer’s behavior and see if it is consistent across other similar merchants. Has the user’s credit card information, email address, or other personal information been seen at other retailers? If so, community data can notify you, providing valuable insights as to whether the customer is legitimate or a fraudster.
Which online payment fraud prevention technology should you choose?
Accertify’s comprehensive fraud management platform provides you access to all the latest technologies described above, with each configured to fit your unique needs. To help you implement them, our team of former in-house fraud and risk managers is always on hand. We’re here to answer your questions and help you get the most out of these advanced payment fraud prevention tools.
Commit to better eCommerce payments fraud prevention
Your approach to payment security and fraudulent transaction detection can determine your overall effectiveness as an eCommerce merchant. Beset by fraudulent activity but still needing to provide a positive customer experience, today’s organizations require models that work behind the scenes to deliver accurate verdicts on all digital payments.
Accertify can help. Equipped with the latest technology tools but designed and configured intelligently by humans, these technology tools help you stay abreast of advanced fraud tactics and one step ahead of digital payment fraud.
Contact us today to request a consultation and get your payment fraud management system moving at the speed of right.