Fraud Alert

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New Member
1 0 0

Hi,

How can I be sure that the orders with a fraud alert are reliable or do I always have to refund these orders.
Buyers respond to email and give me their phone number.

Here are the messages I receive in the alert.

Characteristics of this order are similar to fraudulent orders observed in the past
Billing street address doesn't match the credit card's registered address
Billing address ZIP or postal code doesn't match credit card's registered address

Is it safe to place the order in this kind of case?

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Shopify Partner
135 5 20

Hi @Ghislain,

The decision to process the order is solely based on you. It could be a risky order or a good order and Shopify fraud alert is just a warning system and it's known to not be very accurate in judging every order. Shopify recommends you contact the customer by phone and double-check that they did indeed made the order.

There are additional things you can look out for in judging if the order is good or bad based on different data points. I recommend you read up on the article I've written on this subject. https://medium.com/@jason_80572/five-things-you-can-look-at-to-prevent-fraud-orders-from-happening-...

Decrease fraudulent orders, stop chargebacks and expand globally with Beacon. https://apps.shopify.com/beacon
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Shopify Staff
Shopify Staff
1659 100 361

Hey, @Ghislain!

@Jason_Beacon is correct in that in the end, the choice is yours. The fraud analysis tool will use a number of different variables to determine if an order is a low, medium or high risk. If you receive a medium or high-risk order, then reviewing the reasons behind the flag will help you make an educated decision. For starters, I would recommend reviewing our help document on the fraud analysis tool to better understand how it works. From there, you can then read over our fraud prevention help document to learn what steps you can take to prevent fraud from happening in your store. 

I can't say whether or not you should fulfill the order based on the information you've provided. What I can say though, is that you should consider the risk you're taking if the order turns out to be fraudulent. By fulfilling the order, you could risk losing the product, along with the order value, and the chargeback fee should a chargeback dispute be opened against you. Refunding and cancelling is definitely a safer bet in the long run if you're unable to verify the buyer's information. 

 

Peter | Social Care @ Shopify
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Excursionist
13 0 8

"...Billing street address doesn't match the credit card's registered address"

I've had this happen several times because the customer moved recently and didn't update their credit card info.

I inform them to call the phone number shown on their card and update their info, then re-order.  A very simple process.  If they don't do that, then you have your answer.