Countermeasures to Combat Cardholder Fraud
The world has become a global village with businesses being transacted around the globe. With the businesses carrying transactions around the globe, there’s been a need for the change of the payment methods being used. Due to the distance, the businesses required to change the method of payment for instance from the barter trade methods to methods that can be accessed quickly across the world. To change the traditional methods of payment transactions, electronic payment methods were found to be the best.Nowadays, individuals also can use different electronic methods of payment if they purchased items from different shows both online and physical shops. For instance, you can make an electronic payment using a smart card, mobile payment, credit card, debit card, a check to name but a few.
There are many advantages of using electronic payments, but one of the greatest disadvantages is that you can’t protect your money. There are many cases that prove the insecurity of having electronic money as many cases report of credit card or debit card frauds. There are chances that people lose the card together with other personal details meaning that the person who finds the card can make transactions using your card. Other cases may involve skimming, checker, account takeover, application frauds to name but a few. There are many studies that have been done to help in combating the cardholder frauds. Below are some tips on combating cardholder frauds.
The issuer of the card that is the company issuing the credit or debit card as a great role to play. The company should take therefore of ensuring that there are fraud detections and other mechanisms to respond to the cardholder frauds such as the Andrew Phillips Cardflex processors. Also, there is fraud detection software that the company can come up with to ensure that the notice or detect any unusual behavior or pattern during the transactions which can help in raising a red flag.
Additionally, the merchant also will have a role to play in combating the cardholder frauds. One of the way as a merchant you can combat the cardholder fraud is by requesting for additional information such as the ZIP, pin and the card security code. It is possible is important also to and sure that you use reliable authentication during the payment such as the PayPal if indirectly and also the MiiCard if directly.
It is upon you as a cardholder to report if the card is stolen or you lose it. Be sure also to regularly check the charges and any report of unauthorized transaction that you do not do.