Tips to Stop Your Business Being Scammed
With no dearth of criminals in the digital world, you need more than your company IT support to ensure that your business stays safe from these criminals. Specialized business IT support services are equipped with advanced tools and knowledge to prevent frauds and safeguards your business. Your risks are significantly enhanced when you accept credit cards or enter your own card details while buying raw materials or other business necessities online. Thankfully, there are several tools and specialized business IT support that can insulate your business from the fraudsters. We have culled out 3 such tools to help you and the details are:-
- 3D secure technology
- Address verification
- Card verification
Nearly every credit card processor can provide you with the benefits of all the three tools either for a small fee or free of charge depending on specific service providers. Let us now explore these tools in greater detail.
Address verification is a useful and common tool for preventing frauds for companies and small businesses that regularly enter credit card information by hand. Nearly all credit card processing services and other company IT support provide you with information to help spot potential fraud. This service will compare the address and name provided by a customer with information on the files of the relevant credit card issuer. An alphabetic code is then provided indicating the matching of the information or partial match or complete mismatch. These codes are known as AVS codes and you can learn more about what each code means to you. With the help of these codes, you can automatically or manually decline transactions or manually review the codes. You can also set filters to decline transactions when one or more specific code is triggered. Apart from fraud prevention, some card processing companies may also insist that you use AVS services. When this happens, you may also save some processing cost since the processor is also ensuring a safe transaction for you. However, these charges are nominal in the range of 1 to 10 cents per transaction. Some card processors may also offer a discount on the bulk cost of card processing when you use AVS. The cost of using AVS is very insignificant when you consider the advantages of using it and can also prevent expensive fraud or chargeback.
Card Verification Code/Value
CVV and CVC are numerical that help in verifying the authenticity of your credit card. The number appears on your physical card and businesses cannot store that. The CVV helps in establishing that the customer is in physical possession of the card while using it since unauthorized people often have just the card number and when the transaction asks for the CVV, fraudulent purchases can be weeded out. Most cards have 3 digit CVVs or CVCs that can be found at the back of the signature panel of your card. American Express however, uses a 4 digit code that appears on the front side of your card and distinct from the card number itself. Business IT support services or business IT support Melbourne can help you with more information on safeguarding your online transactions using this tool.
CVV offers a basic defence layer when cards are deployed for online transactions. It helps in ensuring that the card number is not stolen and that the user is in physical possession of the card. Further, it may also help you reduce expenses when you are keying in the details in-person. Keyed transactions without the CVV are reckoned as high risk transactions attracting a higher processing cost. With the CVV added, the transaction gains legitimacy and can bring your costs down. Most card issuers do not charge for CVV/CVC though Master Card does charge a very small fee of $0.0025 for each transaction protected through CVV/CVC.
3D Secure Technology
3D secure technology is another tool for fraud prevention with 3 components to the authentication process. The card company, you and your bank constitute these 3 components. This is helpful when your card accidentally gets into the hands of miscreants and therefore gets past the CVV test with ease. But, if you add the 3D secure tool to the card, the user will need to add a personalized code during checkout which will not be available to miscreants. MasterCard and Visa verify 3D secure options and are highly beneficial for eCommerce businesses. This additional step however may be considered a disadvantage by some businesses although it would be beneficial for customers.
With most Card issuers, you may need to contact the related processing company and get a plug-in installed for authorizing transactions. With most card issuers switching to chip-based cards, the volume of fraud typically increases in the online space. Therefore, using one or more anti-fraud tools will help in protecting your own interests as well as the interests of your customers. Another huge benefit with 3D secure is that MasterCard and Visa you may be qualified to shift any potential liability arising from fraud to the card issuer. The secure code is reckoned as a high level of verifying identity and MasterCard says that you are protected better in cases of customer disputes and chargeback. While the use of technology is free, buying the plug-in or hiring the services of a developer for implementing this technology may cost you a few dollars.
Cybercriminals will always be on the prowl and it is up to us to learn and implement ways to prevent potential frauds from hurting our businesses. Irrespective of whether you own a successful business or are new to use of credit cards, these tips will help you with the type of helpful tools and keep your team informed or ask the processor to take them through a short learning curve.