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:

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

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.