E-Commerce Blog

Many online merchants are already on board with fraud-detection technology. The average merchant uses 4.4 fraud detection tools according to the 2008 “Online Fraud Report” from CyberSource, a major electronic payment and risk management solution provider. The trick is to wade through all of the tools to determine which ones are best for your type of sales, your type of data storage and your type of customer. These articles should give you a sense of where to start or what you might be missing.

Telephone verification

The telephone number can be used for several fraud checks. First, the area code can be cross-checked against the address, to see if the two match. “I use WhitePages.com’s ‘Reverse Lookup’ tool for that,” says Michelle Rahm, owner of the jewelry selling site JewelryImpressions.com. “It’s free and easy.”

Phone numbers also can be used by merchant-initiated services such as VariLogiX, PhoneConfirm, StrikeIron and MaxMind to automatically place a call. The person on…

Originally posted here:
Effective Tools to Detect Stolen Credit Cards, Part 2 Of 3

In Field Test, Practical eCommerce gathered ten seasoned ecommerce merchants and asked each of them the same questions around a given topic. This month?s topic is fraud prevention.

The participating ecommerce merchants are: Dave Norris, House of Antique Hardware; Chris Stump, Only Hammocks; Mike Feiman, PoolDawg; Dan Stewart, Xtreme Diesel Performance; Roman Kagan, Appliance Parts Pros; Cindy Barrileaux, Write Your Best; Claudette Cyr, Gear-Source; Mike Butler, Bloom Designs Nursery; Kristen Taylor, Juvie; Jeff Muchnik, RedBox Tools.

The responses for three of the ten merchants follow below. The answers are shown to preserve anonymity.

Pec: Has your ecommerce business been the victim of credit card fraud?

FIELD TESTER 4: In over eight years in business we haven’t had a single case of credit card fraud. While no company can claim to be 100 percent invincible, we try to utilize every option available to prevent fraudulent transactions.

FIELD TESTER 5: No.

FIELD…

Excerpted from:
Field Test: Fraud Prevention, Part 2 of 3