Non-Payment FraudDistinguishing Payment Fraud From Other Threats
Almost as Important Learning to Identify Payment Fraud: Learning to Pick Out What Payment Fraud Isn’t
When you’re dealing with a suspicious transaction or an unexpected chargeback, it’s easy to label every problem as payment fraud. While this term is broad, not every lost sale falls under this umbrella.
In this chapter, I’m going to distinguish payment fraud from other forms of fraud so that you can better understand what this threat is — and what it isn’t.
Payment Fraud
In this guide, we take a look at what payment fraud is, how it works, and how it impacts merchants. We’ll also share tips and best practices you can use to identify, detect, and prevent these tactics from harming your business.
What Types of Fraud are NOT Considered Payment Fraud?
Payment fraud is a problem in the eCommerce space. However, merchants should keep in mind that not all fraud tactics they might encounter will qualify as “payment fraud.”
Some examples of other threats facing online merchants include:
Again…this is merely a shortlist of potential fraud threats. There are plenty of other non-payment fraud tactics out there, all aimed at separating merchants from their hard-earned cash.
These non-payment fraud threats are a serious concern as well. Friendly fraud, for instance, was the most prevalent fraud attack method in 2021, rising from fifth place in 2019.
