Resources: 2 Minutes on Fraud
A simple online search can reveal thousands of sites that sell credit cards online. The dark web used to be a hidden corner where bad guys would exchange best practices. But now, it’s out in the open. Today, a regular person can Google Search terms to find hundreds of pages of content designed to help them become a professional fraudster. Rich Stuppy, Chief Operating Officer, Kount, outlines how simple it is to become a professional fraudster.
In the past, fraudster tools for defeating your fraud prevention techniques were proprietary and only available on the dark web. Times have changed. Today, fraudsters are more blatant than ever. Tools are widely available at online stores to help fraudsters exploit your company. No longer in the shadows, online fraud tools are easily distributed and constantly evolving. Using a “set it and forget it” strategy for to protect your company from attacks will simply not work. Rich Stuppy, COO, Kount, explains fraud behaviors and how creating a robust fraud strategy will prevent you from being a target.
The 30-60-90 day lag in chargeback reporting can be discretely hidden by record sales. To make matters worse, the chargeback lag means your financial reports will show a distorted picture of your company’s performance. For example, sales you thought you had in December could actually turn out to be ugly losses in February, March, and April. Don Bush, VP of Marketing, Kount, explains the pitfalls of a chargeback lag and the importance of getting in front of this common hazard.
Manual Reviews are often a last line of defense against fraud, but is your review process costing you profits? If your “cost-per-manual-review” does not decrease as sales grow, that means every new order actually reduces profitability. Don Bush, Vice President of Marketing, Kount, explains how determining your own optimal Manual Review rate can protect profits.
Chargebacks are expensive. They cost your business time and money. But the goal of zero chargebacks might not be the best strategy either. Merchants trying to achieve zero chargebacks are often leaving good sales and frustrated customers in their wake. Don’t use a chainsaw, when you should use a scalpel. For each merchant, there is an optimal chargeback rate, which allows for maximizing sales while mitigating risk. Don Bush, Vice President of Marketing, Kount, explains chargebacks and examples of optimal rates.