Card Not Present (CNP) transactions carry lots of risks associated with fraud. Today, merchants have a broad range of fraud control functionalities and solutions available to them.
But merchants must find the right balance between business needs and protection.
Using too much fraud control can negatively impact revenue by reducing potential sales and adding up cost:
- Protecting yourself from fraud means that you will reject good payments. This is life. However, ensure that your fraud control logic does not result in too high a rate of rejection of good payments.
- Fraud control functionalities and solutions can add up to significant cost. Make sure your business really requires the fraud control level you are paying for.
Many solution providers make it very easy to add / play with fraud control functionalities and solutions. In turn, they make it very easy to overdo it and to quickly increase cost.
CARD VERIFICATION VALUE code is free fraud control tool.
