High risk of fraud. What should i do?

New Member
6 0 0

I just recieved an order and its telling me it has a high risk of fraud.

When i click the risk analysis link i get these two notifications

  • Risk Indicators

    • The customer used a high risk Internet connection (web proxy) to place this order.
  • Successful checks

    • Billing country matches the country from which the order was placed

Should i fulfill this order as normal or what precautions should i take before doing so?

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Explorer
110 0 27

Hi Matthew! 

I've done extensive work with fraud in the past, and I can tell you that it runs rampant in eCommerce. My immediate advice: do not fulfill yet

First, the fact that the billing country matches the shipping country means nothing. Fraud runs rampant in India and SouthEast Asia, and a country match won't prevent shipment. 

Second, the fact that the customer is purchasing on a VPN or cloud-IP service is at least moderately suspicious. 

You owe it to yourself to protect yourself, and you owe it to the potentially defrauded customer to do right by them. Go ahead and contact the purchaser -- either through email or phone number -- and get confirmation on the order. And if things don't feel right to you, go ahead and cancel it. 

How large is the order? Larger, high-value orders are frequent targets of fraud. Be particularly careful of orders with multiple purchases of the same SKU that are targeted as fraud. 

A general rule of thumb is this: if you can accept the loss, go ahead and process the order. But with every order that triggers a fraud flag, you should always approach the order with suspicion as though you would accrue a total loss if you process the order. 

Good luck out there!

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Shopify Staff
Shopify Staff
257 1 19

Hi there Matthew!

My name is John and I'm a Guru here at Shopify!

Thanks for inquiring here about your high-risk order.

While we would never directly advise a merchant on whether to fulfill an order or not, we can absolutely provide you with some more info and tools here so you can make your own choices with as much certainty as possible.

One thing you can do for sure is grab our own, free, Fraud Filter app to expand on the existing risk analysis tools in your admin.

Further to that, we have some good general fraud prevention tips you can check out to give yourself further context of whether to fulfill or not. :)

If this is a common occurrence for you, you might also want to consider the Signifyd app for chargeback prevention (there are charges associated with using this app).

Check out the resources above and decide how you feel about fulfilling this order.

Best of luck with everything! :)

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New Member
2 0 0

I just received an order for a watch and the payment was accepted by PayPal Express. Shopify Fraud Analysis shows a "Medium" Risk. The customer did not provide the CVV and the shipping address is 2 blocks away from the order address. The is an email and phone number. How do I proceed? I shipped one like this a month ago and got burned. And, if I decide not to fullfill this order, how do I cancel the order? Thanks. Clayton

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Tourist
13 0 1

Hi Paul,

Did you call the phone number to verify the order first?

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New Member
3 0 0

If you are concerned with fraud on an order, one thing you can do is to request the customer to fax you a copy of their driver's license or ID and the front and back of their credit card. Most ecommerce fraud involves digitally stolen credit card information. So a crook placing a fraudulent ecommerce order likely won't have a physical card. There are more helpful fraud prevention tips available in this article:

Online Merchant Accounts and Fraud: https://www.merchantcardservicespro.com/online-merchant-accounts-fraud

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Tourist
13 0 1

There are many fraud screening app you can install from Shopify App Store to help you to combat fraud.

https://apps.shopify.com/search/query?utf8=%E2%9C%93&q=fraud

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New Member
1 0 0
Ok what if you contact them and explain everything and now you are going to fulfill their order. How do I get my money when I fulfill their order? It keep saying it’s on hold until I take it off. How do I take it off ?
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Highlighted
Excursionist
19 2 3

Hi Matt, in addition to what Don has said, there are a few things you can do to increase the security of your store:

 

1. Ensure that your customers enter their CCV as well as their ZIP code properly. This can usually be achieved through your payment provider settings

 

2. I highly recommend installing "FraudBlock", which automatically cancels fraudulent orders so you don't have to worry about fulfilling them: https://apps.shopify.com/fraudblock-fraud-prevention

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New Member
2 0 0
Same thing happened to my store, then I talk to shopify customers care, the representative advice me to request to the customer to send I'd and photo of the credit card with name and last 4 digit on card number, next day same thing happened again , again like risk order another one at night, but when I week up at more I saw shopify closed my store. Last 3 years i am building up my store, now it's looking good position. I invest money, I invest time with that but they closed my store, in usa there no organization or people who can handle those people
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