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. After long-term of research and trying to come up with a new method of payment, the electronic payment method was found. The use of electronic payment method has become very useful even to individuals after the of purchased various items from online and physical shops because they can pay. 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.
One challenge people are found with electronic payment is that it is hard to protect your money from the electronic devices. There are many cases that prove the insecurity of having electronic money as many cases report of credit card or debit card frauds. In many cases you can lose your card and also other personal details in the same bag meaning the person who finds the back can conduct transactions on your behalf without your knowledge. Other cases that can lead to the card from includes account takeover, skimming, checker, application frauds and so on. There are many people who have tried to come up with the countermeasures to ensure that the cardholder fraud is combated for 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 issuing the card can take a step of ensuring that they come up with processors and other mechanisms that can detect the card frauds for example, the Andrew Phillips Cardflex processors. Additionally, there are other detection and prevention software that a company can ensure they engage that will be in a position to notice any unusual patterns of transaction behaviors helping in alarming the company.
The merchant, on the other hand, will also have a responsibility when it comes to combating 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. As a merchant, it is important that you use reliable authentication such as the PayPal if indirectly and the MiiCard if directly.
The card can be stolen, or you can also use it, and as the cardholder, you should report to the company. As a cardholder, it is important also that you regularly check the charges and any notification of the unapproved transaction.