Fraud Prevention Strategies

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While our systems catch most threats, you know your customers best. Implementing these operational checks can significantly reduce your exposure to disputes.

How to Identify Suspicious Transactions

Look for these "Red Flags" when reviewing orders:

1. Inconsistent Contact Info: Fake emails (e.g., random strings of letters), disconnected phone numbers, or names that don't match the email address.
2. Expedited Shipping on High Value: Fraudsters want the item quickly before the card owner notices. Be wary of "Rush" orders for expensive items from new customers.
3. Billing/Shipping Mismatch: While gifts are common, a shipping address that is hundreds of miles away from the billing address can be a warning sign.
4. Transaction Surges: An unexplained spike in orders, especially late at night or from a single IP address.

What to do if a transaction seems suspicious

If you detect a successful transaction that feels "off," follow these steps immediately:

1. Delay Delivery: Do not ship the item immediately. Buying time is your best tool.
2. Verify Identity: Contact the customer via email or phone. Ask for a valid government ID and a photo of the credit card (showing only the last 4 digits and the name).
   • Note: A legitimate customer is usually happy to verify to secure their order. A fraudster will often go silent.
3. Check Socials: For very high-value orders, a quick check of the customer's social media presence can sometimes verify their identity.
4. Refund: If you cannot verify the customer, or if they refuse to cooperate, refund the transaction immediately. It is better to refund a suspicious order now than to fight a dispute later.

Reporting to PayMongo

If you spot a confirmed threat or need expert opinion, you can reach out to our Fraud and Risk team at [email protected]. We are here to help you assess the situation.