Frauds in e-commerce are responsible for most of the closings/bankruptcies of virtual stores in Brazil, as estimated by the consultancy Serasa Experian.
In 2015 alone, more than 700 frauds were detected in Brazilian e-commerce (data from ClearSale), which avoided the loss of hundreds of thousands of consumers and shopkeepers.
To avoid falling into the crooks' tale, learn about 5 types of e-commerce fraud below:
1. Self-theft
The credit card owner himself makes a purchase on an e-commerce site and then says he doesn't remember making it. It doesn't take long, he starts to demand the eston of the amount paid.
2. Password cracking
A cybercriminal discovers the password of the e-commerce account of a certain user (your customer), enters the system and modifies the delivery addresses of the goods.
3. Use of someone else's card
A fraudster obtains personal and credit card details from a particular victim and uses that information to purchase products in an online store.
4. Mobile fraud
Thieves capture data via smishing or steal a smartphone and use bank details and/or Digital Wallets of the victim to make purchases in virtual stores.
5. Friendly fraud
A friend, wife, child or relative uses the credit card holder's data (unbeknownst to the holder) to make purchases on an e-commerce site.
In most cases, when a user realizes they have been defrauded, they contact the store, credit card company, or digital wallet to report the theft. If there is a chargeback, the owner of the online store is the one who loses out; this situation is known as a chargeback.
To avoid this type of situation that harms both you and your client, it is advisable to carry out some security actions such as:
– Use anti-fraud apps ;
– Conduct a risk analysis ;
– Create a fraud history to prevent scammers from repeating;
– Monitor who makes a lot of purchases throughout the day (evidence of fraud);
– Use security certifications.
By creating barriers against fraud, you protect yourself and your customers, reduce costs, and enhance the good reputation of your online store, which is fundamental for positive publicity for your e-commerce business.
