Is Your Online Shop Safe From Credit Card Fraud ?

Online shopping is becoming an everyday part of consumers lives. The web allows shoppers to compare prices, check out reviews and make purchases in a convenient and speedy way. Just this Christmas, retailers are reporting a 30% increase in on-line shopping.



However, as a retailer you are at risk from online credit card fraud. The internet provides a perfect environment for fraudsters to use stolen cards to commit this crime, due to the large degree of anonymity and reduced risk of face-to-face confrontation it offers.

Online credit card fraud is also easy to commit under the standard card not present (CNP) transaction. All that the standard authorisation process involves is a check that the card has not been reported lost or stolen, and there are sufficient funds in the account. What is missing is a check to confirm that the person making the purchase is the authentic cardholder.

Online retailers are also unable to carry out checks of a card's physical security features during a CNP transaction. Without being able to compare signatures or ask the customer to enter a PIN there is less certainty that the cardholder is genuine.

This presents a real risk to online retailers. In instances where no valid authentication has taken place, the sale is later found to be fraudulent and the cardholder declares ignorance of the transaction, the full amount may be charged back to you, the retailer.

Because of this, many retailers have chosen to further protect themselves by using a number of CNP solutions. Including, MasterCard SecureCode, Verified by Visa, Card Security Code (CSC) and Address Verification Service (AVS).

If you are an online retailer accepting card payments for online transactions you are responsible for making sure that you have taken steps to prevent possible instances of fraud, and to keep customer's payment card data secure.

However, no system is infallible and many criminals will take advantage of security weaknesses and new technological advances. To strengthen the security of your card payment system, and storage of customer payment card information, it's a good idea to consult with experts in this area.

QCC Information Security are Qualified Forensic Investigators (QFI), accredited by the major card brands Visa and MasterCard. They perform forensic investigations and oversee remedial efforts following security breaches of cardholder data and instances of online creditcard fraud
. They also offer assessment and advice on how to strengthen infrastructure for taking and storing customer payment details to deliver a safe shopping environment.