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Home > Learn More > Page 6 > Preventing Fraud On Your E-Commerce Website

Preventing Fraud On Your E-Commerce Website

Fraudulence is a big problem facing website owners today. If you are the owner of an e-commerce website, fraud should be one of your largest concerns. Fraud is one of the reasons why many people will not shop online and if you have not put into place all of the proper safeguards to ensure that your site is 100% secure and that your customer’s sensitive information is protected, then you will find that your customers will not shop with you. There are some measures you can take to help protect your e-commerce website from being the victim of fraud.

Use fraud detection services.

Fraud detection services help you ease your customers’ minds about the safety of your website. These services may not eliminate the risk of fraud entirely but they will instill confidence. They work by helping you ensure that the individual who has entered credit card information on your site is the actual owner of the card. The service will ask the consumer to verify that the address the consumer has listed on your site is the one that is on file with the issuer of the credit card. If this address matches the customer will be allowed to proceed with the purchase. If the address does not match, the purchase will be denied. This service can be bypassed by a competent fraudster, however, because many residential addresses can be found on the internet. But this is a good method of fraud prevention that will reduce the risk of fraudulent activities on your site. Many web hosting companies may offer services such as this.

Use a CCV Codes verification tool.

When you use this type of fraud detection tool, the service you hire will ask the consumer to verify the three digit number on the back of their credit card. These numbers should be required for every credit card transaction on your site. This makes the owner of the credit card look at the card and enter the information onto the check out form. Quite often fraudsters will have the credit card number and expiration date, but not the CCV code on the back of the card. By using this type of fraud detection service you can reduce fraudulent activities significantly simply because numbers are stolen and not the actual card itself. A fraudster can use the number to purchase things online. Consumers who are asked for this number and discover that their credit card has been stolen or lost usually can cancel the card before any damage is done.

The way you design your website can make a difference.

When you pair fraudulent detection services with a website that has been designed with the latest scripting languages and programs that will ward off hackers you are ensuring that your website is safe to shop on. It limits the possibility of fraudulent activities and it protects the integrity of your business. It may cost you more in fees to have someone professionally design your website but the money is well worth it if it ensures that your business is trustworthy and successful. If customers feel they can trust your website, they will shop with you.

One such company that offers secure e-commerce is Yahoo Web Hosting. They offer several small business hosting plans.

 
 

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