Along with concerns over consumer data security,
merchants that use
credit card terminals and other
point
of sale processing equipment need to protect themselves
from fraudulent activity targeting the merchant. Any merchant
that doesn’t have a system in place to regularly check its payments
for fraudulent activity is likely to miss potential warning signs.
Understanding common types of attacks and taking proactive steps to
monitor for and prevent fraud are important security measures for any merchant.
The first step is to limit who has access to credit card processing systems and information. The fewer people that have an opportunity to commit fraud or discover weaknesses in a merchant’s security, the less likely it is that employees will attempt to commit fraud.
Second, there are a number of things employees can be trained to do to monitor activity at credit card terminals to thwart fraud. They should be wary of suspicious purchasing behavior such as buying several very expensive items at or near the floor limit. Employees should always check identification and know how to compare the ID and the credit card to make sure the names match and the picture is not fake or altered. Employees who suspect foul play should attempt to compare signatures on the ID and receipt, and check the credit card’s signature panel. It should have a patterned color design; if that design looks altered, discolored, or abnormal, fraud is likely. Confident employees that calmly double check all these details can do a lot to discourage uncertain thieves and catch attempts at fraud.
Third, an online sales portal can be designed so that the way it processes payments is less susceptible to fraud,
and merchants can modify the way they handle accepting online purchases to supplement this.
The easiest thing to do is speak directly with the online sales portal and credit processing
companies to coordinate with the website designer and develop anti-fraud practices.
By following their suggestions and keeping track of purchases to be aware of suspicious behavior,
merchants can better protect themselves from losses to credit card fraud.