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too many fraudulent transactions :(


ramystyle

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Hi,

 

I blocked some free email addresses (hotmail, yahoo etc..) in whmcs.. That reduced the number of fraudulent transactions by a lot ! But we still get some and it's annoying !! We get at least 3 fraudulent transactions every day.

 

We added the little logo with a lock and saying that the transaction's IP has been logged. That didn't do much..

 

Anyone has any suggestions on how to reduce fraudulent transactions ? Maybe by putting a logo or a scary message or something.. i don't know..

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  • 2 weeks later...

How does PayPal handle fraud. Do they do a good job or not?

 

Our payment gateway provider has a system where if the IP address does not match the country of origin of the credit card, the transaction is blocked.

 

It stops about 98% of all fraudulent orders reaching us.

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How does PayPal handle fraud. Do they do a good job or not?

 

Our payment gateway provider has a system where if the IP address does not match the country of origin of the credit card, the transaction is blocked.

 

It stops about 98% of all fraudulent orders reaching us.

Not!

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Even saying that you are going to do a telephone verification will not stop all.

They are only testing the cards and don't care if they get the hosting account or not.

What they are looking for is realtime card verification. If the card is accepted they can then use the card for more serious transactions. Sadly webhosts are an easy target for testing cards.

 

Blocking free email addresses will not stop them all but will stop legit customers.

 

Even avs results aren't reliable, here are the avs results of a fraud order yesterday:

 

AVS results:

security code comparison - matched

postcode comparison - matched

address comparison - matched

card issue country/contact country comparison - matched

 

Authentication Results:

Cardholder Authenticated

 

The best way is not to debit the card until you approve the order, you will still get fraud orders but it won't cost you anything.

 

Spammers, scammers, hackers and fraudsters, We webhosts seem to get them all :(

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Post the maxmind logo on your order form, and display a brief message saying that all credit card orders will be voice verified for their 1st order.

 

We did that and it reduced by a lot !! (once or twice a week only we get a fraudulant transaction!!) :)

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