Business

Tips On How To Prevent In-Store Card Payment Fraud

In-store card payment fraud is becoming a problem, especially with small business establishments. Online fraudulent activities are what most people know of, but didn’t you know that this can also happen inside your business establishment? This is why you must learn these in-store fraud traditional defenses. It is better to protect your business than being sorry. Here are some tips that can help ensure yours and your business’s safety.

Do Not Accept Damaged Cards

When a customer is making a payment, damaged cards should be a red flag. Do not be afraid to ask for another form of payment instead of manually entering the data from the damaged card. Also, be careful of customers who tell you that their card won’t read. This is a very common fraud scheme that you should be aware of.

Call Your Processor For Unusual Transactions

You have to remember that your payment processor will monitor continuously the transactions that you are doing. Usually, uncommon transactions are being flagged as potential fraud. For example, if your usual transactions are just a couple of hundred dollars and you have to take a payment of over a thousand for one particular customer, it is best to call your processor first. Inform them of the said transaction to avoid getting flagged.

Be Strict Of ‘No Borrowing’ Privileges

Before processing the payment, always make sure that you do not allow borrowing privileges. This means that you only have to process a payment with the owner of the debit or credit card. His or her name should be on the card. You have to ask for ID for verification. Failure to do so can be the cause of chargeback in case it is a fraudulent activity.

Be Careful of Fraudulent Returns

Legitimate return is an important function of your business’s customer service. Unfortunately, the criminals know this too and they are not thinking twice of attacking businesses. What they usually do is return stolen merchandise, using counterfeit receipts, or employee return fraud, this continues to be a big problem. It poses a danger to merchants. To avoid this, make sure that your customers are aware of return policies before they swipe their card on your card payment machine.

Customers Are Not Always Right

You have to admit, some customers think that they are always right. Sometimes they would bully even the owner of the establishment just to get what they want. Do not be afraid and get intimidated by these bullies. Educate your cashiers about the possibilities of these incidents. Teach them how to react and how to deal with bully customers. Make sure that your employees always follow the correct procedure for any card payment processes.

Secure Payments Equal To Outstanding Customer Service

With the heavy number of customers that you have to deal with daily, plus the fact that you want to provide the best assistance and service, you will sometimes push aside the practices that can protect you against fraud. But remember that your customers would also want safe and secure transactions. So no matter how busy your business is, ensure that the security practices against fraud are followed religiously.

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