Whether you want to accept it or not Christmas and Chanukah are right around the corner. As a matter of fact holiday shopping has started earlier this year due to Chanukah falling on Thanksgiving. If you are a store owner, whether internet based or brick and motor, you will have lots of customers which mean potential sales. What you may not realize is that you might be affected by potential fraud.
Unfortunately with the excitement of all things holiday we tend to let our guard down. In reality it should actually it should be heightened. This doesn’t mean your business can’t partake in the holiday spirit, it just means that with all the holiday cheer should come a little holiday caution.
Credit card fraud tends to increase during the holiday season. More customers use credit cards while holiday shopping then use cash. Credit card fraudsters know this and try to take advantage of it. Here are just several types of credit card fraud that have affected businesses during past holiday seasons and what you can do to protect yours from becoming a victim:
Potential Fraud: Use a credit card as a debit card and enter a pin number that was fraudulently obtained
What to do: Ask for ID to verify customer information, including signature.
Potential Fraud: Credit card information is stolen from unsecured terminals.
What to do: Make sure your business is PCI compliant. This way you will ensure that your customers’ payment information is secure.
Potential Fraud: Multiple credit cards used to make a purchase.
What to do: If a customer requests to make a split sale and charge a purchase with multiple credit cards obtain customer verification information and call the 1-800 number on the back of the credit card. Although this may be time consuming could potentially stop a fraudulent transaction from occurring.
By instituting better controls now in how you deal with credit card purchases will not only protect your business during the holiday season but year round. As mentioned earlier having your business PCI compliant is a great start. Also make sure that your credit card terminals, websites, smartphones and tablets have encryption capabilities. Although it may seem like a burden to take the time to implement protective measures your business will be better for it for not only the holidays but throughout the whole year.
Let us know – What measures does your business have in place to protect it from potential credit card fraud during the holidays and throughout the year? Do you do anything different during the holiday season versus any other time of the year? Tell us in the comment section below.
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