While starting an online business, are you also considering a strategy to fight fraud? It is not just enough to report a fraud. You need to have a few anti-fraud program measures in place to prevent fraud. Frauds demand the urgent attention of every business that operates online. And so, to remove this fear of fraud, you need to have an awareness of the right practices and flexible tools that work in accordance with your strategy. In this article, we discuss a few measures that will help remove the fear of fraud while starting an online business.
Removing the fear of fraud with 5 preventive steps.
#1. Use E-commerce fraud protection services
You must have a good fraud protection system in place when you start an online business. You need to ensure that all of your systems and your chargeback management providers are up to date. This is a great way to avoid any misdoings in the payment process for your online shoppers. Many chargeback companies also inspect all of the transactions that happen on your website and validate that the transactions are legitimate.
#2. Use verification technology
There are many online tools, services, and platforms in the marketplace that look at the physical and digital components of identity. These services ensure that there is no fraud or risk associated with the shipping address, email address, phone number, and the location of the order. Therefore, you should make most of the availability of such verification technology. In fact, you should also consider implementing Card Verification Value or CVV technology that identifies whether the card used for payment is in possession of the card owner.
#3. Conduct email authentication
Email fraud is the most common type of fraud that many online businesses face. However, you must consider implementing email verification tools that identify whether the source of the email is legitimate. Have an email verification system in place also protects your customers from clicking on potentially damaging fake links, and it also protects your domain from being misrepresented. When you use email verification, you are essentially building the trust of your customers and not letting them get carried away by scammers.
#4. Identify the origin of transactions
Do you know what kind of device has placed an order on your platform? Whether it is an iPhone, iPad, Android devices, etc. all of them have different fraud profiles. So, you need to have services in place that can tell you which device has placed an order. By doing so, your system understands whether it is a human interaction or a bot interaction. It can then flag malicious intentions and other discrepancies associated with that account. So, when you identify the device used, you also avoid fraud and keep away from overall transaction risks.
#5. Update your systems
It is very imperative that you are running the latest version of your operating system. Not just that, if you also have other software and services installed, you must ensure that they are updated frequently. This is because updates also release security patches that help prevent fraud, viruses, newly discovered risks, and malware that are a daily threat to your website, personal data, your customer’s data, and so much more.
Doing any kind of business requires a certain set of skills that help you prevent opening doors to fraudsters and scammers. As online businesses grow and become the hub sensitive information, fraudsters are finding new ways of phishing, hacking, and theft. So, ensure that you have all the right preventive programs and measures in place that can identify and verify the legitimacy of your business operations.
Is your online business safe from fraud? What preventive measures have you employed? Let us know in the comments below!