Entries tagged with “fraud”.


The Direct Selling Management Association (DSMA) hosted an event on April 21, 2016 focused on helping direct selling organizations better understand the fraud landscape and how they can better protect themselves. The DSMA was founded in 2005 focused on creating collaborative relationships among Utah based direct sales companies and vendors. This event was a great example of bringing together local direct selling leaders around an essential topic.

Drew Peterson and Darrel Welling of ProPay and Dan England of American Express were featured presenters and provided valuable insights and information. A few of the highlights:

EMV is a success, sort of - The transition to EMV fraud protection has had a very positive impact on reducing card present fraud. An unfortunate effect of this success, highlighted by both ProPay and American Express presenters, is that fraudsters have now directed their energies online given the increased difficulty in card present situations.

Filters are your friend – A variety of transaction and data filters can dramatically reduce fraud and provide additional levels of protection. Velocity, IP velocity, address verification and card code verification filters offer additional levels of protection for organizations addressing fraud on the front lines.

Fraud drivers – The continued growth in online fraud is being driven by a number of factors. Data breaches, phishing scams, the continued explosion of digital goods and consumer logins being compromised opening access to accounts and personal information to criminals.

Data can help you win – Collecting more data, making better use of that data and leveraging the power of a network can help direct selling organizations respond effectively to these new threats.

Thanks to the DSMA and its members for a fantastic event.

For more information about how ProPay can help you with Fraud protection and prevention, call 888.227.9856, email sales@propay.com, visit www.propay.com.

Chances are good the apps you provide your customers as well as the apps you use as a consumer are vulnerable. In the recent State of Application Security Report, Arxan, mobile security experts, surveyed over 1,000 consumers and app security professionals from four countries. One of the most significant insights from the report was the following:

“While the majority of app users and app executives indicate they believe their apps to be secure, nearly all the apps assessed, including popular banking and payment apps and FDA-approved health apps, proved to be vulnerable to at least two of the OWASP Mobile Top 10 Risks.”

Other highlights from the report include:

● Consumers and app executives believe their mobile health and finance apps are secure.
● The majority of mobile health and finance apps contain critical security vulnerabilities.
● The security and safety risks are real and significant.
● Most consumers would change providers if they knew their apps were not secure.

The full State of Application Security Report can be downloaded here.

If your business was lulled into complacency about the incidence of payment fraud, there’s a trend you should be aware of. Between 2009 and 2013 actual and attempted fraud rates slid to 60%, but in the past couple of years have since risen dramatically. Recent research from the Association of Financial Professionals indicates that 73% of companies experienced actual or attempted payment fraud in 2015. That’s up 11% from 2014 and 13% from 2013.

What’s behind these changes? What forces and dynamics are fueling this uptick in payment fraud?

Sophisticated fraudsters - The modern cybercriminal is intelligent, collaborative and connected. This new breed of criminal is often highly educated and works in loosely knit, but highly effective collaborative networks with other expert technologists, intermediaries and in some cases corrupt government agencies. The stereotype of the young, hoody wearing loner in toiling away in the dark basement is no longer relevant. Today’s criminals function more like white collar professionals than the stereotypical IT geek. The level of expertise, the fluid and multidimensional style of attack and the speed at which they work makes the modern cybercriminal a very worthy adversary.

More payment options = more openings – One of the wonderful things about emerging payment technologies is how they have made so many more payment options available. Consumers now have a multitude of choices for completing transactions on mobile devices within a browser, via an app, in a retail location or with a myriad of other options. This creates convenience for consumers, but also creates more opportunities for thieves to find a point of entry.

Offshore threats – A massive proportion of cyberattacks originate outside the United States. The nature of these attacks make them difficult to track, but even when tracked to their source, if that source is in another part of the world there may be very little legal action that can be taken. Every country treats these matters differently, enforcement can be impossible in some situations even when the individuals or groups committing the crimes is very clear.

Soft targets – In many cases we as users are our own worst enemies. Many attacks focus not on penetrating complex, highly-secure environments but instead exploit basic gaps consumers unknowingly leave wide open. Things like social media profiles with limited privacy protection or mobile phone settings that passively broadcast personal information to anyone with the limited knowledge to pick up the signals. Sending sensitive personal information through email, text or other unsecured channels also provides an easy target. Use different, and secure, passwords for different applications and when it comes to handling of any financial information use a trusted, secure, well-established partner.

ProPay has been protecting consumers and businesses for many, many years and understands this new wave of attacks. Be sure you, and your business are protected.

For more information, call 888.227.9856 or email sales@propay.com. Visit www.propay.com.

It’s a constant business struggle, providing a seamless, low friction customer experience while protecting those customers and your business from an ever-changing array of advanced cybercriminals. ProPay® Guardian Cybershieldsm makes it easy to provide the experience and protection your customers and business need.

Sophisticated cybercriminals work hard to “hide in plain site” by disguising their activities as typical transactional activity. ProPay Guardian Cybershield uses the Global Trust Intelligence Network, a massive source of data about trusted and untrusted internet personas to sift through huge volumes of activity and information and differentiate legitimate activity from potential fraud. The Network does all this without creating interference or difficulty for legitimate customers.

ProPay Guardian Cybershield utilizes a suite of differentiated features and technologies that include cookie-less tracking, geo-location, a powerful rules engine as well as data and breach protection solutions. This impressive group of technologies makes it possible to keep up with the rapidly changing tactics of global cybercriminals.

The business value of reducing fraud requires no explanation. No business wants to suffer the financial and reputational damage from security or fraud issues. Beyond the direct impact of fraud, there are other significant expenses. Manual review processes consume valuable human and technology resources and can create frustrating customer experiences which may result in customer losses. Reducing process friction through an automated solution can minimize cost to the business and streamline customer experiences. ProPay Guardian Cybershield can impact these key areas.

Consumer trust and confidence is the foundation for a strong digital customer relationship. ProPay Guardian Cybershield is an intelligent effective way to improve both customer experience and protection from fraud.

For more information visit www.propay.com, email sales@propay.com or call 888.227.9856.

There is no question that a traveler needs to make a number of preparations for a big trip, but repeatedly one of the biggest problem areas tend to be managing finances when on the road. Chalk it up to the excitement of the trip, being in a new place, or finally relaxing from work and stress everyday in a commute, but people get sloppy. And when that happens, the problems occur when traveling.

Fortunately, most issues that cause situations of fraud and money loss when out of country can be prevented. A number of simple steps can be taken by any person, both before the trip and during it. And the ramifications can be awesome in terms of making sure that a trip is enjoyed without disappointments, at least financial ones.

1. Inform Bank and Credit Card Companies

The first step anyone should take is to inform his or her bank and credit card companies of the pending trip. This includes the general location and dates of the trip. It’s a simple matter; one just needs to call the institution and make sure the information of the trip is posted to the account information. Just about every time the account is pulled up by a financial company, so is all the immediate information, including notes. This data gives a flash view of pertinent account status, which is critical when fraud occurs or a valid purchase occurs in an unusual place.

2. Use Paper

Second, a traveler shouldn’t put all of his reliance on digital payment tools. There are plenty of places in the world that don’t take a credit card, no matter whether it’s a Visa, Mastercard or an Amex. Cash rules in these locations, and a wise traveler is one who plans for these situations or, worse, when a card gets lost. Having a back up plan allows a person to complete their trip instead losing it altogether. Cash is also good for avoiding suspicious-looking card reading machines too. Not every vendor is on the up-and-up.

3. Keep Wallet Close At All Times

Third, never ever put a wallet out of sight. That means not leaving it on a desk, a nightstand in a hotel room, or on the restaurant table when paying the bill. In public, wallets are immediate targets, easy to grab and run with even in a crowded, public place. By keeping it secure, even with a covered harness inside pants or a jacket, it makes a wallet difficult to grab. Pickpockets rely on distraction to do their job. Most travelers never see a hit coming. Instead, burying a wallet in a hard to reach place force them to choose other targets.

4. Check and Monitor Accounts Daily

Fourth, if you can do so, check and monitor accounts daily. Stuff happens when one is on the road in unfamiliar places, and they will show up immediately on an account screen. However, be careful about your connection. If it’s not yours, Wi-Fi and hotel connections are often compromised and a fast way to lose a password to a hacker. Use our own account or not at all. It’s better to then check with a phone number and account dial in update.

These are practical, simple steps that everyone traveling should practice regularly. Most fraud is done because people are careless. Tie up loopholes like these and you won’t be a statistic.