Tips to Avoid Fraud when Processing Credit Card Payments

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<h1>Tips to Avoid Fraud when Processing Credit Card Payments </h1><strong> Author: <a href='http://www.articleseen.com/profile_Eric Hannelius .aspx'>Eric Hannelius </a></strong><br /><p>It’s never been easier to start a business. Set up a website, find a merchant service, and sell your product. You’re probably not thinking about credit card fraud, but there are a number of people out there who look for ways to cheat businesses out of money through bogus credit card transactions. What’s unfortunate is that your business is 100 percent liable, so it’s your profit margins on the line. If you have too many fraudulent charges on your account, you could be classified as a high risk merchant, which means you will need a different type of credit card processing account. If you need high risk merchants credit card processing, click here. Use these tips to protect your business against fraudulent transaction and ensure that your customers’ data is secure. Verify Customers’ Information When accepting credit cards online, validate the billing address. For some transactions, you may also want to match the shipping and billing address. This ensures that the person who is providing the payment is the account holder. Many fraudulent transactions go to addresses that don’t match the billing address. Certain cities are especially vulnerable to this, such as major shipping hubs like Miami or New York City. Larger transactions, such as those for airline tickets or pharmaceuticals, need policies in place to make sure the right person is getting the order. Stay on Top of PCI Compliance There are a number of regulations for the payment card industry (PCI). When you comply with these standards, you reduce your risk of having a security breach of your customers’ valuable data. Both small and large businesses are vulnerable to hackers attempting to steal credit card numbers. It can cost around $200 per record breached to clean up this mess, which doesn’t include the cost to repair your reputation. Make sure that your credit card processing company is PCI compliant. Getting a High Risk Merchant Account If your business is classified as high risk, you need high risk merchants credit card processing. Although many businesses receive this classification after a breach or a number of fraudulent charge backs, some are immediately classified as high risk. Online pharmacies are one example, as are businesses selling marijuana. If you have a high dollar product, above $500, this may put you in the high risk industry. You do have solutions, but you need to work with a vendor who helps you prevent false transactions. Train your employees to look for suspicious transactions. Maintain excellent records. Doing these things can help you fight charge backs and false transactions before they happen. Make sure your system is secure. When in doubt, confirm customer information through a phone call or on Facebook or other social media. Yes, these steps take time, but taking these few minutes to verify data can save your business hundreds of dollars later. Don’t risk your business or your valuable customers by not having the right credit card processing company. You don't want to lose business by having charge backs, but you also want to keep the customers you have by protecting their data. With more people using mobile payments and storing credit card information, your business has to work twice as hard to keep up with technology. A good credit card processing company will help you stay on top of all the regulations of the industry. </p><strong>About the Author:</strong><br />John Trinh has been writing for 10+ years. He first delved into the world of writing when he wrote his first article for his university's paper. Since then, John has enjoyed writing about technology, business, marketing, and anything that he thinks he should write about. <a rel="nofollow" href="http://www.visionpayments.com/">Credit Card Processing</a><p> Article Source: <a href='http://www.articleseen.com/Article_Tips-to-Avoid-Fraud-when-Processing-Credit-Card-Payments_319124.aspx'> http://www.articleseen.com/Article_Tips to Avoid Fraud when Processing Credit Card Payments _319124.aspx</a></p>

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Keywords : Credit Card Processing Services,

Category : Finance : Finance