In nearly every consumer-facing industry, ecommerce has grown exponentially in the past two years. Because of this increase in the number of online transactions, the payment processing industry is thriving. Consumers are opting for the ease of digital wallets, credit cards and BNPL installment buying services when making ecommerce purchases, and this trend will only continue to rise. A 2022 Juniper Research report indicates that digital wallet transactions will surge from $7.5 trillion in 2022 to more than $12 trillion in 2026.
As with most growth opportunities, there are also inherent challenges and risks. The payment processing industry is currently facing one of its greatest challenges to date: preventing credit card fraud. In 2018 alone, US businesses lost an estimated $6.4 billion to payment card fraud, and small businesses are especially vulnerable to this cybercrime. When left unchecked, cyberattacks typically result in data breaches, identity fraud and compromised systems. All these crimes subsequently cost payment processors time and money.
As businesses of all sizes re-examine their fraud prevention and management tools, many business owners are searching for new techniques to catch credit card fraud before it occurs. While credit card processors do often offer basic security measures in an attempt to reduce credit card fraud, these tools are not enough to keep up with the ever-changing landscape of cybercrime.
How can EVS solutions protect my business from credit card fraud?
Every time a consumer initiates an online purchase, they must enter identifying information to complete the transaction. This information can include the consumer address, credit card number, CVV code, zip code, phone number, or email address. Using premium data source providers, EVS can use this identifying information to verify credit card numbers match to consumer names, addresses, and phone numbers as a proactive approach to credit card fraud prevention. EVS can also verify additional data points such as date of birth, social security numbers, and email addresses as part of a robust fraud prevention solution.
EVS offers multiple comprehensive solutions to combat cybercriminals and empower payment processors and their merchants to verify and authenticate the identity of anyone entering their payment chain. Payment processors may find our fraud prevention services to be useful when:
- Processing transactions
- Creating accounts or enrolling customers
- Retrieving and resetting account credentials
- Transferring funds
- Confirming delivery locations
- Avoiding high-risk transactions
- Ensuring compliance with federal regulations
- Protecting against fraud
Related EVS Solutions to Protect Your Business
If your business needs further protection or verification methods, EVS offers multiple products that are designed to meet a wide variety of security needs and bolster your business’s overall security procedures.
Identity Verification
EVS offers flexible identity verification solutions to help your business verify the identity of consumers in the US and Canada. EVS identity verification allows our clients to verify their consumers through identity document verification, consumer data verification, or a combination of the two methods.
Age Verification
Through our comprehensive IdentiFlo Consumer+ solution, EVS can offer your organization a quick and effective way to confirm a consumer’s date of birth. This verification check can be seamlessly integrated into your ecommerce platform, application process or customer database management systems.
Watch List Screening
EVS Watch List solutions can be utilized as-is or customized to allow you to upload your own screening lists. Our Watch List solutions screen the following lists to help your business ensure compliance and monitor your professional relationships:
- Politically Exposed Persons (PEP)
- Office of Foreign Asset Control (OFAC)
- Consolidated Sanctions List in the EU and UK
- Canada Office of Superintendent of Financial Institutions (OSFI)
- System for Award Management (SAM) and LDP
- Denied Persons List (US Dept. of Commerce)
- Entity List (US Dept. of Commerce)
- Unverified List (US Dept. of Commerce)
While there can be a variety of legal, legitimate reasons that consumer transactions could fail initial verification checks—haven’t we all entered their credit card number or CVV incorrectly at some point?—today’s businesses have the fiscal motivation and legal responsibility to protect their ecommerce stores from cybercrimes like credit card fraud. If your business is searching for a commerce protection vendor that can detect and stop payment processing fraud before it occurs, consider one of EVS’s comprehensive identity verification solutions. EVS can significantly simplify processes and reduce costs compared to competitive solutions.
