Fraud Prevention

Fraud prevention is everyone’s business

When it comes to credit and debit card processing, fraud costs businesses billions every year. We’ve put together a number of ideas that can help you detect and deter fraud.

Warning signs of fraud

Certain customer behavior may indicate fraud, but doesn’t necessarily mean criminal behavior. You know your customers, so let your instincts be your guide.

Watch for customers who:

  • Purchase a lot of merchandise without regard for size, color, style, etc.
  • Ask no questions on a major purchase
  • Try to distract you or rush you during the sale
  • Make purchases, leave the store and then return to buy more
  • Make large purchases right at opening or closing
  • Refuse free delivery on large items

If you are suspicious:

  • Hold on to the customer’s card if you can do so safely
  • Follow your company’s procedures and notify your supervisor
  • Call your voice authorization center and say, “I have a Code 10 authorization request.”
  • Follow the operator’s instructions if you can do so safely

When the stripe won’t swipe:

  • Check the terminal to make sure it’s working properly. If it is, follow your company’s procedure for key-entered transactions
  • Be sure to check the card’s security features and match signatures
  • Check the card hasn’t expired
  • Get a manual imprint of the card; ask the customer to sign the imprinted sales draft
  • Compare the signature on the card with the signed sales draft. Be sure they match. Do not accept an unsigned card!