Paynova Fraud Prevention

There are numerous benefits to paying by card on the Internet and in stores, but there are also risks, especially for the merchant, who may be faced with considerable costs. Unfortunately, this aspect is rarely taken into account when discussing fraud, while the media tends to focus solely on how consumers are affected.

Card fraud is a significant problem within e-commerce. The most common occurrence is a fraudster using another person’s card details to purchase goods and services online or in-store.

Statistically, card fraud is becoming increasingly common. There was a 40 % increase in reported card fraud in 2009 compared with 2008. The media features almost daily reports of increasing consumer fraud. However, there is little awareness among the public of the fact that consumers rarely bear the cost of this type of fraud; it is borne instead by the banks and merchants. The cost of tackling card fraud continues to rise, which is why the marketplace should be focusing on reducing the risk of fraud by automatically stopping spurious payments, as each fraudulent purchase affects the individual merchant’s profit. The technical solutions and means needed to break out of this downward spiral already exist – it is just a case of using them.

Working with external partners, Paynova has developed a complete fraud prevention service that monitors transactions around the clock in real-time. We help e-merchants to determine which orders to accept or decline based on more than 150 different parameters.

How can Paynova protect you against fraud?

Paynova’s fraud protection can, among other things:

• Identify and block stolen cards for e-merchants connected to Paynova.
• Block IP addresses making repeated purchase attempts using different card numbers.
• Identify and stop sophisticated attempted fraud involving several orders using different e-mail addresses, card numbers and IP addresses but with some kind of common denominator. Paynova scrutinizes such attempts in real-time.
• Identify card and customer details that have been used fraudulently with another e-merchant in a global network of merchants, automatically blocking those orders flagged as high risk.
• Block computers previously used in attempts to commit fraud by utilizing Paynova’s integral Device ID tracker, which takes a digital fingerprint of the computer used by each visitor.

Paynova Fraud Prevention employs these and other controls in real time.

Rules

We compile the rules that are in force for your business in Paynova Fraud Prevention. The rules can be updated quickly as needed. Examples of rules:

• Limit the cards you accept to those where the bank guarantees payment by using 3D Secure. Limit the cards you accept to those issued in the countries where you do business.
• The ability to deny all purchases from certain countries by restricting purchases from IP addresses or card numbers from these countries.
• Limit the number of purchases that can be made from a particular IP address or computer during a certain time period.

There are endless possibilities to create different combinations of rules. Paynova has in-depth expertise in this area, and together with you we develop the rules that are right for your individual business. Contact us to learn more.

Download the product sheet here.