Like individuals, companies are not immune to fraudulent activity, which increased by 50% in Quebec between 2022 and 2023. However, according to Moneris, there are certain ways to prevent them.
According to data from payment solutions provider Moneris, the province of La Belle is facing a greater increase in fraud cases than the rest of Canada, where such activity increased by 13% in 2023 compared to the previous year.
Cardless fraud – using a credit card number and name to pay without having the physical card – has been the cause of many fraud cases.
Here are some tips for companies to avoid being deceived in certain fraud cases:
• Prevent mail or telephone order fraud
According to Moneris, this type of fraud is the most common in Canada, accounting for 74% of all fraud cases.
This involves collecting card information over the phone or email and entering it manually, which poses the risk of a chargeback.
To prevent this, it is possible to comply with card acceptance rules and use a secure online payment gateway.
• Avoid refund scams
Nearly 19% of fraud cases involve the refund process, such as a stolen device or employee fraud.
It is therefore advisable to configure passwords on payment terminals that are only known to authorized employees. Administrative restrictions may also prevent access to reimbursements.
• Beware of terminal theft
Very rarely, terminal theft is committed in order to top up prepaid cards using their reimbursement function.
To avoid them, terminals must not be left unattended and customers must be observed during their transaction.