A few weeks ago, we wrote a post covering five ways to protect your business from online credit card fraud. In that post we promised a part two – and here it is! Once you’ve taken care of the tips and tricks covered in part one, take a look at these ways to take your online security to the next level.

1. Pay Attention to Patterns in Your Transaction Data

In our previous post we discussed the importance of limiting the number of failed transation attempts a user can make before they are locked out of your online store. As an additional security measure, it can be helpful to review your transactions at the end of every day to look for any patterns or irregularities. If you see that a user entered their credit card information incorrectly over and over, it’s possible that they were trying to guess at the card number. You may also see transactions from multiple credit cards in rapid fire succession. This could represent scammers using software to try to come up with a card number that will work. Being aware of the patterns in your data will help you know when something is off.

2. Beef Up Your Shipping Protocol

If you ship physical products, it’s always helpful to provide a tracking number – this is just a good customer service practice. However, it can also help you combat online credit card fraud – as long as you require a signature. Many scammers won’t want to go on record as having received the item or will use a fake name. Having this data on hand is simply another way to fight back against criminals who are trying to game the system.

3. Monitor IP Addresses

This one is a little more advanced, but if you’ve been having trouble with online credit card fraud it may be worth the effort. You can research the IP address from which your customer made their purchase to see if they are who they say they are. Be particularly wary if the IP address of the user comes from overseas but the billing address for the credit card is in the United States. Of course, people certainly purchase items online while they are traveling all over the world – but this is also often a telltale sign of online credit card fraud. If you see a suspicious IP address come through, look it up here. You can also set up your ecommerce platform to automatically reject IP addresses that originate from countries where you do not ship your products. It’s worth potentially irritating one jet-setting legitimate customer if you can avoid multiple fraud attempts!

4. Invest in A Fraud Profiling Service

If fraud is a major concern and you’ve tried all of the above methods of combating it, you may be a candidate for an online credit card fraud profiling solution. Believe it or not, there is an entire industry built around ferreting out fraud and giving business owners a heads up when early warning signs surface. Your ecommerce platform may offer an add-on fraud prevention solution, or you can consider one of these options. This approach can come with a hefty price tag, so make sure you’ve exhausted other options first.

Fight Fire with Fire

When it comes to online credit card fraud prevention, the best defense is a good offense. Stay informed about your typical transaction data so you’ll know when something isn’t adding up. Your credit card processor is also an excellent resource for helping you combat online credit card fraud (or at least they should be). If you’re not getting the support you need, give 360 Payments a call at 1-855-360-0360 or drop us a line on our website. We’d love to help take your fraud worries away.

PS – If your credit card rates just keep climbing, read this.

PPS – Signatures are no longer required for credit card purchases – here’s why.