I have had 2 'high risk' orders over the weekend, both from the same customer.
I have read that the best thing to do is cancel the order. Does this mean processing a refund? The order already comes through accepted on my site.
What happens if the order does end up being a fraud and Ive made a refund? who looses out here?
If anyone can explain how the whole credit card fraud works between us as store owners and stripe/Shopify that would be really helpful.
I'm Ann, from the team here at Shopify :)
It's great to hear that you are taking the preventative steps needed in order to filter fraudulent orders and avoid chargebacks. When you're ever suspicious about an order, it's a great idea to take a look at the following in order to know more about the order and be able to make a decsion on fulfilling it or not:
If you would like to get even more in depth with your fraud prevention methods, you can also implement one of the many fraud prevention apps we have available via the Shopify App Store such as:
Once you make the decision that you don't trust the information enough to go through with the order, refund and cancel the order right away. That will send the money back to the original card, and you won't suffer any concequenes in the future. If you don't do that, you might end up with a chargeback on your hands, which means that the credit card in question issued a chargeback, which means they reverse the charge, and hold the funds until they decide who to give the money to. You can read more about this on this page in our Shopify Manual.
I hope this helps! If you have any more questions or concerns feel free to reach out to us here :)
Have a great one,
ally, there is a warning about the billing adress being different and also the IP adress from a different location
had something like this and cancelled the order (buyer would not give out his ''real adress'' of course, because he did not have it. In any case, I would have asked him to buy again to see what the system says, because personnally, how would I know. I also go on Google map and see where it is delivered. This place was like a factory in the middle of nowhere.
But I believe Shopify has a flaw in their system because this person trying to buy with someone else's credit card, well, the card owner does not get a warning of the fraudulous attempt after we turn it down..
I asked Shopify if they could pass on the info I had on this buyer (where it gets delivered) to the credit card company, but their system is not set for this