Refund fraud has already had an industrial chain overseas, and in 2020 alone, U.S. e-commerce companies caused losses of up to $7.7 billion.
Among them, there are also many Chinese sellers who have been prostituted in vain, and the goods have drifted across the ocean to the hands of the **, and the money has been refused to be paid for the goods, and if the refusal rate case dispute exceeds the risk control requirements, it will also affect the seller's collection account and freeze more funds.
What are the methods of chargeback fraud?
I see PEB, DNA, LIT, FTIB methods.
Partially empty box (PEB).
*Claims that the package has been delivered, but some items are missing and do not match the description of the purchased item. This is often used for lightweight, valuable items on large orders, and if they encounter a customer representative who won't refund them, they usually hang up** and call the next customer service again to avoid leaving any records on their account. After a second or third attempt, the refund will most likely be successful.
Fake tracking IDs
Get a refund by manipulating the label and processing the postage. They play a key role in the "fake tracking number (FTID)" method, which modifies the return mailing label to either remove all customer-related information or modify the return address. This ensures that the package shows delivery in the tracking system, but cannot be associated with the original order. However, most ordinary people lack the relevant knowledge and professional skills, know nothing about this method, and do not know how to operate it.
Lost in transit (lit).
They will use vanishing ink to print labels or other ways of counterfeiting labels. These methods make the package undeliverable and marked as lost in transit.
Not Reached (DNA) method.
* Claims not to have received the package, especially if a signature is not required. This method became popular during COVID-19. Some items may use fake signatures even if they are signed. This approach is affected because some companies require OTP (One-Time Password) to ensure that only the actual recipient can confirm the receipt. This also ensures that the project has been delivered, so this method cannot be used.
See Telegram, YouTube, Reddit for more new scams
Keywords: refund fraud
Go deep into the enemy camp and know yourself and your opponent.
* Profit through the goods obtained by ** prostitution and the latest tricks and fish feed. There are many gray industry chains involved.
How should cross-border sellers fight fraud?
Prevent chargeback fraud, and most importantly:Document reviewReject unreasonable orders and unreasonable requests, observe abnormal order data, check with customers that the order information is correct before shipping, and have clear and transparent communication records.
1. First of all, clarify the return and exchange policy, not only provide a link at checkout, but also provide the full terms content on the checkout page, or make a pop-up window that asks the customer to agree to these terms before submitting the order.
2. Show the full policy
Acquirer Your card issuer may have very specific requirements for how you present your policy, and if your customer has to check a box that contains only a link to give their consent, the card issuer may refuse as insufficient proof that the customer understands your policy. Before a customer makes a purchase, you must have reasonable evidence that you have provided a complete copy of the policy to the customer.
3. Track logistics and transportation
After delivery, use the logistics information that provides ** tracking as much as possible, and update the logistics information to the customer as soon as possible after it can be checked online, (if you need to submit tracking information as evidence of dispute, please note that the credit card issuer will not click on the link, so you must provide a screenshot).
4. Take the initiative to refund suspicious order payments, don't lose a lot because of a small one.
5. If there are still doubts after checking with customers for large orders, please delay delivery for 23-48 hours. Give cardholders the opportunity to spot transactions on their accounts, as they also make purchases through fraudulent purchases.
6. The core is also the most basic, to choose a safe and reliable payment recipient cooperation, stripe, PayPal, Lianlian Pay, Payone, Qianhai and other excellent collection tools have mature risk control models.
In addition to the above, having a professional customer service team to do a good job of pre-sales consultation, document review and other work can greatly reduce the risk of refusal and fraud.
Finally, I would like to say that compliance can be long-term, and this is true for any industry and identity
It's full of police outside.
I'm Robert, the Haute top of Independent Station!