Tag Archives: ecommerce

CNP Security | Abtek

CNP Merchants: How to Maximize Data Security

Fraud and theft is not a new problem in the card-not-present and e-commerce marketplace. For years, criminals have been crafting schemes to steal data and cracking the codes that are meant to protect it. According to the latest reports, merchants that sell goods online each spend an average of $10.1 million per year on fraud-related costs. And, with the crackdown on in-person fraud through the implementation of EMV chip technology, we can only expect to see card-not-present fraud numbers rise.

The United States is the last major country to make the transition to EMV, so we can look to other countries’ experiences for a glimpse of what we can expect to occur.. The general trend illustrates that as counterfeit and lost/stolen fraud decreases due to EMV, criminals find alternate routes to commit theft—primarily in CNP environments. While the UK was able to tame the problem by developing more advanced fraud analytics and using 3-D Secure technology, England is still working to combat the increase in CNP fraud since implementation of EMV in 2006.

So what can e-commerce and other CNP merchants in the U.S. do to protect themselves from the impending fraud spike? Being proactive is key. Here are some of the top imperatives for maximizing data security:

  • Secure Passwords | AbtekImplement Effective Password Policies – The more secure a password is, the harder it is to hack. By creating and enforcing password policies, you can help to maximize data security. One common “rule” is to require a minimum password length and complexity. For example, you may consider requiring passwords to be at least six characters and contain a mix of lower and uppercase letters, numbers and symbols. Another best practice is regularly enforce password updates—we recommend every six months.
  • Two-Step Authentication | AbtekUtilize Two-Step Authentication When Possible – The downside to data security is that it doesn’t always translate to user-friendliness. When a merchant requires customers to jump through hoops to make a purchase, it may deter them from completing the transaction. Instead, consider utilizing two-step, or two-factor, authentication. It’s a process that requires a user to verify their identity through the combination of two components—for example, a phone number, PIN, password, or security code associated with a credit card number.
  • USB CNP Security | AbtekAvoid Using USB Devices on PCs With Virtual Terminals – Did you know that anytime you attach a USB device to your computer, there’s a potential for being hacked? There’s no need to go throw away all your thumb drives, though. Simply be very cautious when connecting to PCs with virtual terminals where financial transactions are taking place, as they can be especially vulnerable to attack. And, never insert a USB to your computer that you’ve found lying on the ground—it could have been planted by a hacker trying to gain access to your data.

Are you a CNP merchant who needs help navigating through this post-EMV environment? Abtek is here to help. Contact us today to learn more about how to maximize your data security and minimize friendly fraud and other theft.

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How to Minimize “Friendly Fraud” Chargebacks

With the EMV Mandate, data breaches, and POS innovations, merchants have enough to worry about when it comes to how they handle the way their customers pay.  Which is why one particular strain of chargebacks is especially a huge nuisance.

Know the Facts

Did you know that “friendly fraud” chargebacks are commonplace now? The name is a misnomer, though–”friendly fraud” happens when a customer purchastes goods online and then disputes those charges with his credit card provider, claiming the goods were never delivered. ABTK-small-blog-image-FriendlyFraud-01A recent study found that 86% of chargebacks are deliberate; and Visa estimates that in 2012, merchants lost $11.8 billion due to friendly fraud. Many merchants can head this off by having accessible customer service reps.

But what else can businesses do to curb losses due to these kinds of chargebacks?

Verify

ABTK-small-blog-image-FriendlyFraud-02

Ask for security codes. These are the numbers that are located on the back of a credit card. Since merchants can’t store security codes, hackers can’t steal them.

 

Ask for Proof

ABTK-small-blog-image-FriendlyFraud-03Ask customers to electronically sign for their purchases. When you have the signature of a customer that proves the product was successfully delivered, it undermines any claim they may make that the product wasn’t delivered.

 


Chargebacks are messy. If you don’t deal with them in a short window of time, you could be forced to pay fees and penalties that could have been avoided entirely. It’s always a good idea to have a merchant services company on your side–especially one that hears you out and provides reliable customer service.

Here at Abtek, we fight friendly fraud chargebacks on your behalf, not only saving you the headache of dealing with them, but also potentially saving you a lot of money. Give us a call today at (800) 544-9145 to find out how we can help you prevent unfriendly chargebacks at your business.


Stay updated on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

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Keep Your Holiday Profits: Chargeback Prevention Tips

The holiday season has once again come to an end. Whether your customers used in-store credit card processing systems or visited your ecommerce site, you don’t want to see your holiday profits whittled away by subsequent chargebacks.

Common Reasons for Chargebacks

Before we discuss how to prevent chargebacks, let’s look at the most common reasons that chargebacks occur.

  • Fraudulent card was used
  • Cardholder disputes merchandise quality
  • Incorrect amount was charged to the card
  • Errors occurred during credit card processing
  • Proper authorization wasn’t obtained

ABTK-small-blog-image-Holiday-Profits-1General Prevention Tips

Here are some general chargeback prevention tips that apply to merchants who accept online payments as well as swipe cards on POS systems.

  • Be sure the customer recognizes the business name you give to your merchant services company. Many chargebacks occur because customers don’t recognize the business name that appears on their statement.
  • Respond to retrieval requests in a timely manner. If you don’t respond within the number of days allowed in your merchant services agreement, it’s likely a chargeback will occur.
  • Get an authorization 100 percent of the time. Failure to get an authorization will result a chargeback.

ABTK-small-blog-image-Holiday-Profits-2Prevention Tips for Swiped Cards

Following are tips that merchants who process cards through POS systems or mobile merchant accounts can follow to lessen the chance of a chargeback occurring.

  • Swipe all cards through your credit card processing terminal. Doing so proves the card was presented at your store. If you have to get an imprint because your terminal is down, be sure all information appears: amount, business name, business location and signature.
  • Always compare the signature to the back of the card. Understandably your cashiers want to get customers through their lines quickly, but it only takes a few extra seconds to check the signature. Your cashiers should check the signature against a photo ID if there’s no signature on the back of the card.
  • Ask for another form of payment if the card is declined. Don’t continue to swipe the card.
  • Make sure the number on the screen and the credit card number match.
  • Get an authorization for the full sale amount – don’t break the sale amount into smaller amounts.

ABTK-small-blog-image-Holiday-Profits-3Prevention Tips for Online Businesses

Here are some helpful tips that online merchants can follow to prevent chargebacks.

  • Make sure your customer is giving you the correct billing address by using the Address Verification System (AVS).
  • Provide your merchant services company with a telephone number that it can print on your billing statement. This increases the likelihood that the customer will call you and determine what the purchase is before disputing it with their card issuer.
  • Use shippers that provide proof of merchandise delivery to the full billing address. This will help you in case of a dispute. Require a signature for expensive merchandise to be left with the purchaser.

Stay up-to-date on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

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Expert Tips for Growing Your Business

We understand that a common challenge of all businesses, especially smaller ones, is that of cash flow. No matter how profitable a business, it requires increasing levels of working capital to support ongoing growth. The successful entrepreneur understands this need for cash and capital and takes steps to ensure it is available when needed.

ABTK-small-blog-image-ExpertTips-01Increasing Cash Flow with the Right Merchant Services

Many people think the only way to fund a small business is through incurring debt or selling equity. While both of these methods are common, we work with many creative entrepreneurs who find additional ways to help manage their cash flow. For those companies involved with ecommerce especially, efficient credit card processing services is just one of those tools.

The use of our modern POS systems helps business owners generate accelerated cash flow. We provide merchant services that facilitate all types of large and small business transactions, from retail to online payments. We also offer mobile merchant accounts that fit the needs of a wide range of businesses. Importantly, our systems help our clients minimize the common problem of chargebacks.

Low cost and dependable credit card processing are only part of what we provide to business owners who want to maximize cash flow. As a part of our package of progressive merchant services, we also offer different forms of advances and business loans for those who serve their customers with our state-of-the-art POS systems.

The advantages of these financing options are numerous. Instead of trying to get a loan from a bank and committing to a rigorous payment schedule, we accommodate our clients with convenient terms that automatically reduce the balance they owe based on the volume of business they do.

ABTK-small-blog-image-ExpertTips-02Other Tips for Financing Your Business

In addition to debt, equity and the correct use of credit card processing services, the savvy business owner will focus on these key areas of managing working capital needs:

  • Working with vendors. The longer you work with certain vendors, the better terms you can expect. It is important to set up your company’s financial accounting system to ensure you pay your accounts on time, building a strong credit history. Setting up a D&B account is part of this process. Depending on your industry, you can also work with vendors to smooth out seasonal peaks in buying and payment terms.
  • Managing inventory. Today, there are many inexpensive inventory control systems to help keep inventory levels at the lowest level possible while meeting customer expectations. Many companies reduce their working capital needs by as much as 20 percent when they pay attention to inventory levels. This is especially important for companies with seasonal business or products that may go out of date. Clearing out excess inventory at cost is far better than letting it sit on shelves.
  • ABTK-small-blog-image-ExpertTips-03Consider invoice factoring. Many companies today are turning to the concept of selling their invoices to a factor to improve cash flow. The great thing about factoring for a small company is that the factor looks at the credit worthiness of the company buying the products or services. These are often larger companies with established credit, allowing even a new business to sell their invoices quickly. While this can be an expensive route, it may be the right way to support growth for some companies. Over the long-term, factoring is preferable to some businesses wishing to avoid debt or selling shares in the company.

Taking Care of the Basics

Companies must generate profits and have sufficient cash flow to survive and grow. Meeting customer expectations with quality service and professional credit card processing services are one of the basics for businesses today, especially those involved with ecommerce.

Delivering what customers expect will ultimately improve sales, reduce chargebacks and increase your ability to attract the type of financing you need for growth. Abtek’s POS systems are designed to help you provide that level of service and build the revenue you want and deserve. We also work with you to provide part of the financing you need as your growing base of charges shows you are taking care of business.

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