Card-present transaction is not a new thing as people have been doing this for years. However, with the advancement of technology, everything has got an advanced shape and card present transactions are not an exception. Considering the present situation where maintain a physical distance has become very important due to COVID-19, people are avoiding physical transactions. Consequently, the number of card present transactions has been remarkably increased.
However, it does not matter whether it is card-present transactions or card not present transactions, we cannot ignore the fraudulent activities inextricably associated to it. Moreover, there are many small businessmen who have just started their business or who have just made their business online. For them, it is very important to understand the card present transactions. Otherwise, they will face problems while accepting card payments. We at International Payment Solutions understand this concern. Therefore, we have highlighted some signs that will help you to understand whether the card-present transaction is fraudulent or not. So, have a look at the following points:
The Credit Card Does Not Have A Signature
If your business accepts online credit card payment, you are familiar with the fact that the cardholder has to sign the back of their credit card before swiping it on the credit card machine. So, if you as a merchant do not see the sign of the cardholder in case of a card-present transaction. You can ask the consumer for the ID card in order to verify the identity. You have to check whether the name on the ID card and the name on the credit card are the same or not. Moreover, every credit card network has its own set of rules. If there is no sign of the cardholder at the backside of the credit card, the merchant has to follow these rules while accepting bill payments.
When the card brand is Visa and there is no sign of the cardholder, the merchant can ask for an ID card. If the cardholder does not provide any ID card. The merchant will have the option to accept or decline the credit card transaction.
If we talk about MasterCard, the merchant may ask for the ID card if there is no signature at the backside of the cardholder’s credit card. However, in such a case, the ID is not compulsorily required. But, if there is any sort of requirement, the customer has to provide information. For example, if you are into the shipping or delivery business, you have to ask the shipping address from the customer and in such a case, the cardholder will have to show his or her id.
At International Payment Solutions, we promote chip-enabled credit card transaction or EMV payment. Yes, EMV payment is an advanced form of credit card transaction and here, it is designed to mitigate the fraudulent activities. In the case of an EMV chip-enabled credit card transaction. The customer has to carry his or her physical credit card and the customer has to provide a PIN to complete the transaction. So, there is no need for signature at the back of credit card and merchants can accept credit card payment without any hesitation. If any fraudulent activity happens in the case of a chip-enabled credit card transaction, the card-issuing bank will be responsible for that.
Credit Card Does Not Work And Merchant Will Get An Error Message
Sometimes credit card transaction gets declined and the merchants ask the cardholder to complete the transaction with a different card. Well, this can be a scenario of card-present fraud. A card transaction usually gets declined if the card does not have enough credit. So, the fraudsters might have multiple stolen cards and the person will try to test all of them to check which one has balance. In such a case, you as a merchant will have to be very careful. You should always check the name that is on the card with the name of the cardholder’s ID.
Sometimes, you might get error messages while accepting card present transactions. This can happen in two cases. If the card is expired, you can get such messages. If the card has been reported as stolen, the merchant will get an error message.
Cardholder Might Ask To Key-In In Case Of Card-Present Transaction
Well, a key-in is something where the cardholder does not need to put the PIN number. It might happen when a customer is trying to use a credit card that is actually stolen. Moreover, only the merchant can suggest a key-in in case of card present transaction. So, if any customer repetitively asks for key-in, you should not accept that credit card payment.
Not An IPS Merchant?
In order to accept credit card payment, you have to pair your business with any merchant processor solutions. Therefore, we will recommend you to go for International Payment Solutions that is one of the best merchant processors. With IPS’s advanced payment solutions, you can easily prevent card-present transaction fraud. So, what are you waiting for? Get in touch with IPS today.