Internet Fraud.......Advice - Trade Sports

Internet Fraud.......Advice

January 26, 2016

Most days we encounter credit card fraud on our website and it's hardly a surprise when we are selling high profile brands that we should have to deal with this kind of daylight robbery. In 2014 there was a staggering £479 million worth of fraud incidents reported in the UK in over 1.2 million cases overall, meaning 2.3 fraudulent purchases committed every minute of the day. 

So the 2 cases we had in the last 24 hours involving deliveries with values into the hundreds isn't too bad for us as an independent retailer, however but what would happen to major retailer would be very damaging however they huge and will be able cope with this 21st Century crime so back to us an how we approach these instances. 

Credit card fraud is extremely easy to commit, if a card has been stolen in the mail it will contain the home address and name of the person and sometimes a card can be skimmed at ATM's (a skimmer is a device that reads the magnetic strip on the back of your card). All this information can be bought on the Dark Web by these cyber criminals, they can be based in any part of the country, any race and origin but they tend to do the same patterns every order. 


  1. Order behind a proxy
  2. Rack up huge orders of the most expensive items
  3. Pay for next day delivery
  4. Request delivery to an address up to hundreds of miles away from the card address. 
  5. The card can often be issued in other countries
  6. The card has already been reported for fraud. 
  7. Line of the billing address are incorrect


We use an online platform called shopify and with every order we receive they will email us if their is any suspicion of fraud. It is up to us to accept the order on most occasions however in certain circumstances like options 1, 4, 5 and 6 above they won't allow the payment to go through at all. They will provide to us information on the cardholder that will allow is to investigate the transaction should there be some discrepancies that they have missed. 

There is another backup plan just in case some of the issues flag up, for example today there was a problem order that had options 3, 4, and 7. This order would normally be cancelled and refunded but for a small 1% fee we use an app from Signifyd.

Signifyd Example


They are company based in California, United States are working for some of biggest online retailers to provide an app that protects the retailer from the fraudsters by using some clever tech to work out the risk on every transaction with a score out of 1000. Most our transactions go through smoothly because this app does a background check on all our customers in an instant. It provides us with information for a 1% fee that gives us 100% confidence to ship an item without the threat of chargebacks when the fraud is found out. 

Chargeback Example

The good news for us is that we have only been hit with one chargeback in the last calendar year because we have been able to identify the cyber criminals and the we did get our money back from Signifyd which proves the system works. Going forward it is the public who needs to do that hard work to stop this illegal trade on information. You need to do the following. 

Check your bank statements weekly - It's critical you spot it when you see large transactions coming out, the sooner you spot it the sooner you stop it. They can take vast sums of money out in days and the paperwork and inconvenience for you can reach breaking point. 

Passwords - Come up with a more elaborate password that only you will know, personally think of your favourite song, take the first letters from the lyrics in a line and you will have something almost impossible to crack. For example: iylmbaytiscblmk try and work that one out. 

ATM'S - Skimming devices can be impossible to spot but do look out for for small pin holes where you can find a camera, and make sure you use the same one everytime. If it suddenly looks a lot cleaner then report it. - If you are a victim please report it, get in touch with the company who was scammed and between the 2 of you report the person. As a retailer we are given the shipping address and although we cannot reveal this to you, we can provide it to 


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