Archive for February 7th, 2007

Shopping Cart Software And Credit Card Fraud

Shopping cart software by all means has revolutionized the way commerce is done around the world. However, like anything else bad people are always looking for new ways to exploit the system of selling things online. Besides for your everyday hackers there is a new breed of thief's who use stolen credit cards to purchase goods from eCommerce sites.  Usually, the eCommerce business owner ends up taking the loss sometimes losing thousands of dollars in merchandise.

A shopping cart client of WebCart recently went through a bombardment of fraud, and unfortunately lost thousands of dollars which she will probably never see again. To understand how to protect oneself from fraud it's very important to know how these  thief's operate.  The first part of the scam is to get a victims  credit card information. Perhaps you heard of  "phishing" which has become an extremely popular scam over the last few years. More often then not a credit card theif will use phising to capture inexperienced web users credit card information, billing address, CVV number, and other personal information.

Once the thief  has a credit card  the hard part is over. Usually they use the credit card owners real name billing address and have products shipped to an alternative address.  Sometimes this address is in the US,  but sadly often times it's not and creates a new set of issues for merchants who try to recover the stolen goods.  Regrettably, this is exactly wh at happened to our client, and she learned a very serious lesson.

In the next post I will talk about a few simple things eCommerce store owners can do to protect them from falling victim to credit card fraud.