Protect Your Store Against Fraud with FraudWatch’s Screening Rules

shoppingdangersAs reports of fraud continue to challenge the eCommerce industry, merchants worldwide are taking proactive steps to protect their businesses, typically with the implementation of fraud-detecting programs that can cost anywhere from several hundred to a couple thousand dollars. With FraudWatch, however, 3dcart merchants can protect their businesses against fraud with a powerful application that won’t put a strain on their wallet, offering the same features and technology boasted by eCommerce’s most expensive fraud applications.

So how exactly will FraudWatch protect your business against fraud? As new orders come into your store, FraudWatch will “score” each transaction using an algorithm that measures collected data (i.e.,  IP address, mailing address, bank identification, etc.) in real-time based on past usage.  Furthermore, in addition to a score that assess a transaction’s threat level, you can create special “screening rules” that will automatically approve, reject or flag orders for review based on the information being reported by FraudWatch.

With FraudWatch’s Screening Rules, transactions are reviewed before an order reaches the credit card validation process, thereby allowing you to reject orders before they ever reach your payment gateway. Automated approval or rejection will save merchants countless hours of time and energy better spent elsewhere, with only the orders under the “review” status requiring a merchant’s attention.

Specifying rule conditions is easy and incredibly customizable. FraudWatch subscribers will have list of selectable parameters to further specify in which cases a transaction should be automatically denied or set aside for further review. Examples of such configurable criteria include order amount, billing country, selected payment method, email provider domain name, FraudWatch Score, or if the customer account is new, anonymous or a returning customer.

Merchants can add as many conditions to a rule as needed, allowing for complete customization and control of FraudWatch. A popularly implemented rule, for example, is one in which an order is automatically approved if either A) their FraudWatch score is less than 2, or B) the customer is a returning customer. A returning customer or anyone with a good FraudWatch score isn’t likely to pose any danger of fraud – so why not create a rule that will automatically approve the transaction and save you a great deal of time in the process?

FraudWatch’s Screening Rules is the simple solution for easy, efficient fraud prevention. 3dcart merchants can experience a 15-day FREE trial of FraudWatch by logging in to their Online Store Manager and selecting any FraudWatch plan; the trial will automatically be applied. To enable FraudWatch on your store, follow these steps.

For more information on setting up FraudWatch’s Screening Rules, check out this helpful guide.

Prepare for 2015’s Expected Online Fraud Spike

thiefcrackingOnline retailers lose billions of dollars to credit card fraud every year. For merchants, fraud is a source of countless headaches – an unavoidable industry curse that tests the security, strength and success of small and large businesses alike everywhere, everyday. Unfortunately, even with the emergence of fraud-combating software, analysts predict annual fraud-associated losses will continue to rise as more consumers switch to shopping online.

With the 2015 holiday season just around the corner, merchants are about to see a huge spike in cybercrime. The holiday season, a festive time that promises great joy for millions around the world, is also a season of increased greed, need and desperation. In the last two months of the year, when shoppers will spend hundreds of billions of dollars, online fraud will peak to its highest.

For physical brick-and-mortar stores, a curb in fraud is to be expected as the U.S. moves toward cards with microchips, which provides increased security for in-store shopping. Although this is great news for physical store owners, microchips offer zero protection against online fraud.

For merchants keen on spotting fraud first-hand, analyzing and recognizing factors such as selected shipping country, high value orders/quantity, invalid addresses, and suspicious emails are essential to preventing fraudulent transactions. But humans are just that, human – when relying exclusively on a pair of human eyes to detect fraud, mistakes are bound to happen.

Fortunately, as cybercrime has increased through the years, so has the number of companies offering protection against fraud. Such companies and their software, while not 100% fail-proof, provide a great level of security and comfort in an industry that is plagued with scammers. Volance, Trustev, and ThreatMetrix are among a few of the countless companies that have emerged over the years to combat fraud.

FraudWatch, a fraud detecting program offered by 3dcart, helps merchants identify fraud before an order is ever processed using an algorithm that assesses threat levels. With FraudWatch, merchants can:

  • Identify potential fraud before you process orders
  • Minimize risk and loss by assessing the threat level of transactions
  • Configure screening rules to automatically approve, deny or set aside transactions for further review
  • Display positive or negative fraud history based on reported information
  • Report suspicious transactions to warn other 3dcart vendors with the Community Alert feature

If you’re looking to protect your business against fraud this upcoming holiday season, check out FraudWatch, currently available for a 15 day FREE trial. Simply log in to your Online Store Manager and select any FraudWatch plan; the trial will automatically be applied. To enable FraudWatch on your store, follow these steps.

To learn more about FraudWatch, visit our app store here.

How to Protect Your Business from Fraud and Identity Theft

Below is a  guest blog post by Jodi Florence, VP Marketing at IDology, Inc.

While the Internet has made it easier to grow a business, it has also introduced new security challenges for small and big businesses alike. As the techniques of fraudsters grow more sophisticated so must the solutions businesses use to detect and prevent fraud from occurring.

The heart of successfully stopping fraud in a consumer-not-present channel is having assurance you are interacting with customers, not thieves.  Verifying a customer’s identity is important for anyone doing business online.

With identity theft continuing to be one of the fastest growing crimes in the United States, using identity verification helps reduce the risks for both your business and your customers from becoming a victim of fraud.   The key is to automate your identity verification process so that you are able to verify consumers in a way that will keep business moving and without sacrificing customer satisfaction.

So what exactly is identity verification?  Simply put, identity verification solutions help uncover if you are dealing with legitimate, real people.  And depending on the level of verification your business requires, you can also find out if someone is who they say they are even though you can’t see or check their ID in person.

At its lowest level an automated identity and age verification solution allows you to verify information provided by someone, such as name, address, and date of birth, with information that can be found on that person while searching thousands of trusted data sources.  If there is something suspicious associated with the identity, like the address doesn’t match or the person is actually deceased, you will know instantly.  And depending on the level of assurance needed, you can incorporate a set of multiple-choice questions that are dynamically generated based off of the personal history information found on each individual consumer.  These questions are sophisticated and designed specifically so that the true identity owner will know the answer but not someone attempting to be that person.  The end result provides an automated process that helps businesses make more informed decisions about how interactions with consumers are handled while also preventing fraud.

If you are still on the fence about using an identity verification solution, here are some of the benefits our customers see:


  • Increased Revenue- Using technology to identify your consumers-not-present keeps business moving forward in a timely manner.  As a result, orders are approved and processed faster thus increasing the opportunity to capture more revenue.


  • Decreased Cost of Business- Electronic identity verification decreases the amount of manual review needed to evaluate and legitimize questionable activity freeing up your employees time to focus on other areas of the business


  • Improved Fraud Protection- Identity verification gives better insight into potentially fraudulent activity so that businesses can deal with suspicious activity accordingly. Being able to validate someone’s identity quickly reduces the amount of fraud loss.  And by decreasing the amount of data that is shared within a company, it protects sensitive consumer information from being overexposed and limits the potential of an employee misusing a consumer’s information.


  • Fulfilled Compliance Regulations – some businesses, such as financial companies and age restricted products and services, have compliance regulations they must follow.  Incorporating an automated identity and age verification solution gives you the resources to quickly comply with legal obligations while providing an audit trail to prove you performed your due diligence on your customers.


About the Author:Jodi Florence is the VP of Marketing at IDology, an identity and age verification solution provider helping businesses of all sizes in multiple industries drive revenue, lower costs, prevent fraud and meet compliance regulations.  For more information about IDology and its identity verification solutions visit