Credit card fraud is one of the main reasons the merchant suffers financial loss.
Bank fraud alert is the main identification of the fraud activity. In most cases, it leads to chargeback and there three reasons it may occur:
- Merchant error - double charges, confusing billing logic, unclear descriptors, not available contact details.
- Criminal fraud - criminals gain access to credit card information and make unauthorized purchases.
- Friendly fraud -customers dispute the transaction claiming they didn't receive the order \ it was damaged \ they didn't make the transaction.
Fraud alert numbers are monitored by card brands and the breach of the fraud ratio thresholds may lead to fines and penalties. The is why it is vital for merchants to monitor the fraud ratio and our risk team doing our best to assist in keeping the ratio on an acceptable level.
To find out more about fraud and chargeback preventing measures please click here.
To learn more about our fraud preventing platform Covery please contact us at email@example.com.