Are credit card details stored safe and secured thus much that it is completely impossible for hackers to intercept or steal them? Nowadays this question is of the main importance for online store owners as online business becomes the principal target for scammers hunting credit card information.
The positive answer is either false or deceitful. Credit card fraud exists as long as credit cards exist themselves.
Today, we will talk about the main types of credit card fraud and the reasons why RegularPay is safe and reliable payment service provider that can reduce the risk of fraudulent activities to a minimum.
Most cases of plastic cards fraud (up to 45 % of the total) occur while the customer is making payments online. So online stores offering Internet acquiring to their customers are constantly fighting with scammers and fraudsters. It should be noted that fraud operations volume depends noticeably on the online store field: small jewellery shop fraud indicators will differ significantly from the ones of major domestic appliances distributor.
Who can suffer from fraudulent activities?
According to the standards of the International payment systems the client should never suffer from any financial harm in case of fraudulent transactions and must be indemnified by the issuing bank.
Card fraud issue brings monetary damages and also brings discredit on bank or payment provider. But merchant becomes the main fraud victim. Everyone knows that the dissatisfied customer tells at least ten other potential customers about his bad experience whereas the happy one shares with only a couple of close people.
Now imagine the situation where online store faced a massive hack attack. Disappointed customers express their fury and frustration spreading everywhere the information of incredibility and danger of the site. For large online business this fact may not be fatal but it can influence dramatically and cause a huge problem for small stores and startups.
How it happens that money disappears from the credit card?
There are so many ways of card fraud and fraudsters are very inventive and ingenious. We can list a few basic types of data theft and fraudulent activities.
- Hack server database
Fraudsters hack payment operator or bank where the cards database is stored. Millions of credit cards may be hacked at a time. It’s usually very sophisticated and brings a huge profit to the scammers. This kind of attack is for great news stories and great plots in movies but normally this only happens a couple of times per year. Usually injured parties prefer to remain silent about the hacking in order not to lose the trust of their customers.
Phishing is a crime that starts with deceptive e-mails being sent to customers. These messages are made to look as if they come from the customer’s bank to get the victim reveal personal information and credit card details, such as bank account numbers, passwords. Or classic version when in order to attract new “customers” can be used sms or e-mail with advertising campaign. Fraudsters create clone of the popular online resource and begin to “sell” products or service. It must be said that this type of fraud can greatly damage the reputation of the original online store. Cardholder goes to the fake site, selects items and places an order. Next he enters his card data and without any suspicion he sends them into the hands of criminals.
- Attack “Man in the middle”
In this situation, the scammer makes independent connections with the victims and relays messages between them. He makes them believe that they are talking directly to each other over a private connection, when in fact the entire conversation is controlled by the attacker. The scammer makes customers’ payments go directly to him by deleting, disfiguring and changing transaction information.
- Attack “Man in the browser”
This scheme requires actually hacking into the computer system and reprogramming it to send the credit card data directly to the scammer. It gives the possibility of changing the parameters of the transaction in real time.
How to choose a reliable payment service provider?
To protect the customers from fraud, the merchants need to choose their payment service provider very carefully. Of course, the merchant will take under consideration many factors while choosing his future acquiring bank and payment service provider. And first of all, his choice will mostly be based on the fees and charges offered by provider. But it must be said that the fraud protection level is also a very important factor.
Standard anti-fraud system is based on various filters and limitations. From one hand, such system allows to limit number of suspicious payments-it just won’t let them through. At the same time it disables upright customers from making payments that are beyond system limitations. Here’s the example. A mobile operator has a limitation: daily payment from one credit card can not be more than 200$. Then fraudsters won’t be able to steal more than 200$.
However is there a possibility to pay more than 200$? What to do in order to pay own bill as well as mother’s one, and friend’s one? The majority of customers won’t wait until the next day to make a payment. They would just resort to competitor-provider and are hardly to get back to the former one. Talking about the security system it can be said that it is perfect, meanwhile the customer is lost or disappointed.
Choosing a safe and reliable credit card processing company can be a really difficult task. The merchant should choose a provider carefully for it to guarantee the security of the sensitive data without significant payment traffic restrictions as the profit of his store directly depends on it. You should care more about security than discount rates.
Why Regularpay is the best choice for business?
RegularPay has been providing high quality payment services for more than 8 years. We can proudly present you our best services and ensure you that up-to-date anti-fraud monitoring system is guaranteed. We have our own static database of successful and fraud transactions. RegularPay considers every client as unique one and do all the needful to store safely his sensitive data using the most recent developments.
We use not only automatic computer systems for protection and prevention from fraudulent transactions but professional analysts to provide anti-fraud monitoring process.
We constantly do our best to improve our anti-fraud system by the inclusion of a self-learning system of mathematical models and continuous improvement of the software.
We don’t buy pattern solutions so we will be able to resist successfully the new types of fraud and their modifications.
The partners of our company continue to work with RegularPay once they have tried our service. Only the highest level of service including 24/7/365 support, personal account manager, law assistance and consultation about any question is our attitude.
The benefits that Regularpay offers will give the merchants the possibility to start receiving payments in a short time maximizing the profits and fighting card fraud successfully.