Fraud Protection
Take Charge - Protection from Credit Card Fraud
Impersonation Fraud
How to recognize these fraud scams and protect you and
your business
Fraud artists are constantly coming up with new ways to exploit
unsuspecting merchants – from accessing cardholder information,
terminal data or your terminal functions to attempting to
replace your Point of Sale (POS) unit with dummy terminals
and card-skimming equipment. Gaining access to just one terminal
can be highly profitable for these criminals.
Play it safe!
The most effective way for merchants to protect themselves
from impersonation fraud is to recognize the tactics involved
and know how to respond.
Global Payments never asks you to
confirm or
divulge your Point of Sale terminal password.
Global Payments never sends technical personnel to your
business unless you request a service call.
When you do request technical support from Global Payments:
| |
1. |
Our Customer Care representative will:
- Record the technical issue
- Confirm that a technician has been dispatched and
- Provide you with a unique reference number identification
code
|
| |
2. |
When the technician presents himself at your place
of business, you should:
- Request the reference number identification
code from the technician
- Request his employee identification to ensure he
is an authorized Global Payment technician
|
Without these two forms of identification, never allow the alleged
technician to touch your POS equipment. If you are the least
bit uncertain, contact Global Payments Customer Care to confirm
that the call was initiated and a reference number identification
code assigned.
If you do suspect an impersonator:
- contact in-store security
- report the incident to the police (You can help authorities
by noting the individual’s physical appearance and
licence plate number.)
- report the incident to Global Payments Customer Care
POS Password Protection
- Remember to frequently change your POS terminal password
- Never divulge your POS terminal password to non-authorized
individuals
- Never display the POS terminal password for others to
find
POS Terminal Protection
- Remember to always complete an end-of-day settlement on
a daily basis
- Remember to turn off your POS terminal at the end of every
business day
- Remember to protect your POS terminal against theft by
placing the device where fraudsters cannot reach it
- Inspect your POS terminal and PIN Pad daily for any signs
of tampering
- Report any suspicious activity to Global Payments Customer
Care
Preventing Fraud
Losing any amount of money to fraud is too much! From merchant
chargebacks to higher operating costs, fraud affects us all.
The most efficient place to prevent fraud is at the point
of sale, by making sure your employees follow these simple
guidelines for every credit card transaction:
| |
Follow Procedures
- If you are suspicious for any reason, call for a
Code 10 authorization.
- If you have an electronic POS terminal, always swipe
every card, even if the customer says the magnetic
stripe is damaged. If there is no response, or the
message is garbled, call for an authorization and
take an imprint of the card. If the card looks deliberately
damaged, call for a Code 10 authorization.
- If the magnetic stripe is not reading, key in the
number manually, and take an imprint with the cardholder’s
signature.
- Always call for authorization at the time of sale.
If suspicious, call for a Code 10 authorization.
- Ensure there's a paper trail. With signed receipts
and credit card slips, there's a good chance you can
prove that the merchandise was delivered to the cardholder.
Check the Card
- Check the signature on the draft against the signature
on the back of the card. If the signatures don't match
up, have the customer sign again or ask for a piece
of I.D. If you are still not satisfied, call for authorization
to confirm the validity of the card.
- Check the expiration date. Cards are often mistakenly
used before their initiation date or after their expiration
date.
- Pay particular attention to the 4-digit printed
number (BIN) to the left of the embossed account number,
above or below. It should match the first digits of
the embossed account number. If the printed BIN is
not there, the card is most likely counterfeit.
- Be especially vigilant with gold cards. Because
of their higher spending limits, gold cards are favorite
targets of fraud artists.
- Make sure the customer's address and phone number
match up. Be particularly cautious with orders when
cardholders live out of the country and/or merchandise
is being shipped out of the country.
Learn Fraud Signals
- Train your staff to recognize suspicious transactions,
such as orders that are much higher than usual and
multiple orders on the same card in a short period
of time.
- Be wary of customers who buy many items without
regard for the price, size or color. They are often
using a counterfeit card to load up on merchandise
before the card is detected.
- Watch out for "the check-out bully." The
bully's objective is to make such a commotion that
the cashier becomes intimidated and rushes the purchase
through without following proper authorization procedures.
- Be suspicious of phone order requests for delivery
to hotels, office complexes, and post office boxes.
Items delivered to a non-residential address may be
impossible to trace and could be charged back to you
if the transaction is questioned.
- Thieves often purchase big-ticket items shortly
before closing in an attempt to rush the sale and
avoid authorization procedures.
Good Practices
- Keep the transaction slip and the merchandise behind
the counter until the sale has been completed. This
prevents anyone from stealing your copy of the sales
draft, or from running out of the store with your
merchandise if the authorization is declined.
- Never accept a letter that claims to give a customer
permission to use someone else's card. Only the authorized
signatory can use the card.
- Don't accept credit card payments over the phone,
by mail, fax or on the Internet unless you have a
special merchant agreement. These agreements can be
obtained by contacting Global Payments.
Business Owner, Beware
- Seasonal fraud specialists who don’t have
their own merchant accounts often approach legitimate
merchants. They will typically offer you a kickback
in exchange for depositing transactions through your
account. It is important that you only process your
own transactions.
- Be wary of high-pressure telemarketers who want
to sell you printer paper, toner or other supplies
for your Global Payments transaction solution. Purchase
supplies only through an authorized Global Payments
dealer.
- Make sure your staff know the proper procedures
for credit card transactions and follow card acceptance
procedures.
- Efficient accounting and reconciliation of your
receipts can help pinpoint potential account problems
quickly.
- Encourage your staff to report anyone who tries
to coerce them into "skimming off" the account
data from the magnetic stripe on a credit card. Some
crooks use wallet-sized, cordless devices to retrieve
this information and produce counterfeit cards.
|
When the Card Is Not Present, Caution Should Be!
You and your staff are our most effective weapons against
fraud. Statistics show that the risk of fraud increases when
the card and customer aren’t present at the point of
sale.
"Card-not-present" transactions include catalog
purchases, telephone or fax orders, and Internet sales. They
can also include recurring payments, such as automatic donations
and subscriptions.
You cannot accept mail, fax, phone, or Internet transactions
without a specific type of merchant agreement. Without it,
you are not only vulnerable to fraud and chargeback losses,
but you risk losing your merchant privileges. So, before accepting
a card-not-present transaction, make sure that you have the
proper agreement. Then, take the necessary steps to prevent
chargebacks:
- Start by getting authorization for every transaction.
This reduces the likelihood of processing an expired or
invalid card.
- Never ship items to hotels, office lobbies, or post office
boxes. Without a permanent address, there’s no way
to verify whether the shipment has been received or follow
up with the customer.
- If a customer contacts you to cancel a recurring transaction,
stop billing immediately.
- Protect yourself by making sure your return policy is
clearly stated on your order forms, Web site, advertising,
and catalog materials.
When You Use Credit Cards...
Most merchants are also credit card users. Here are some tips
you, as a consumer, can take to reduce the chances of becoming
a victim:
- Always cut up old cards.
- Sign new cards as soon as they arrive. Use permanent ink.
- Keep a list of your active cards in a safety deposit box,
with account numbers and the number to call if the cards
become lost or stolen.
- Only carry the cards you plan to use.
- Store your Social Security number somewhere other than
your wallet.
- Do not give credit card information to a phone solicitor.
- Don’t keep sensitive information at work.
Avoiding Shoplifting
Everyone who works in your store should be on the lookout
for possible shoplifters. Although shoplifters are seldom
violent, it's a good idea not to attempt to physically restrain
them. Call the police or security immediately.
Here are some tips to help you identify likely suspects:
- Be wary of customers returning to the same counter —
it could mean they are scouting or loading up on a particular
item.
- Watch for customers "browsing" without any apparent
focus.
- Be on the lookout for people who come into your store
with large shopping bags. These are often used by shoplifters
to "scoop up" merchandise.
|
