Tips to Combating Cardholder Frauds
The world has become a global village with businesses being transacted around the globe. Therefore, these a demand on businesses that transact business across the world to change the payment methods that they use. It is hard therefore to continue transacting businesses across the world using the barter trade payment methods hence the need to engage a different payment technique for businesses. To change the traditional methods of payment transactions, electronic payment methods were found to be the best.Nowadays, individuals also can use different electronic methods of payment if they purchased items from different shows both online and physical shops. Electronic payment methods include the use of smart cards, mobile payments, credit card, debit cards, checks to name but a few.
There are many advantages of using electronic payments, but one of the greatest disadvantages is that you can’t protect your money. It has been proven with many cases being reported of people who have been a victim of electronic money fraud such as credit card or debit card frauds.The fraud could happen for instance when your card is stolen, and especially if it was with other details pertaining the account meaning that you can lose all the money in the account. Other cases may involve skimming, checker, account takeover, application frauds to name but a few. There are many countermeasures that have been put in place by different people to combat the cardholder frauds. Discussed below are some of the ways of combating cardholder fraud.
The issuer of the card that is the company issuing the credit or debit card as a great role to play. The company issuing the card can take a step of ensuring that they come up with processors and other mechanisms that can detect the card frauds for example, the Andrew Phillips Cardflex processors. Also, there is fraud detection software that the company can come up with to ensure that the notice or detect any unusual behavior or pattern during the transactions which can help in raising a red flag.
When it comes to the combating of cardholder fraud, even the merchant as a role to play. When the merchant is transacting business with the card, it is important to request for additional information such as the pin, ZIP and also the card security code. As a merchant, it is important that you use reliable authentication such as the PayPal if indirectly and the MiiCard if directly.
As the cardholder, be sure to report when you lose the card, or it is stolen. As a cardholder, it is important also that you regularly check the charges and any notification of the unapproved transaction.