When COVID-19 hit, the world shut down. From businesses to schools to shopping centers, internet activity grew more than ever before. Through Zoom, Skype and online shopping platforms, people were staying safe, staying home and staying active online to maintain a sense of normalcy in their lives. However, with more people online, there are more chances for merchant credit card fraud that can leave a consumer or business confused, frustrated and scared because someone could have access to their finances and other personal information. In today’s day and age, staying up to date on merchant fraud protection resources is essential for peace of mind. Here are two common types of ecommerce fraud and how you can stay protected.

1. Merchant App Fraud

This type of fraud not only hurts a consumer but also the business. A person behind this scheme downloads a company’s mobile app and uses stolen credit card information to make purchases. The company is therefore sending out products and services that were paid for using money that wasn’t theirs. The business ends up losing the items because they sent them out assuming it was a real order; the person whose card was stolen ends up disputing the charges and most likely will get their money refunded since they never made the purchase. This type of fraud really hurts a business more than a consumer but can be monitored by a business looking out for super expensive orders that don’t match the volume their company sees and employing technology that looks for these types of fraudulent scams.

2. Digital Payment Fraud

When customers shop in-store, chip readers and other technology have made cards much safer. However, the technology hasn’t transferred to online purchasing yet. When someone buys online, all the person needs is the card’s information. There’s no pin inputted, and the consumer doesn’t have to swipe a chip which is a more protected form of card-based purchasing. For the business’s sake, the best way to combat this is to know about current tools on the market used to catch fraud. As a business owner, getting hacked can have detrimental effects on future customer trust of shopping at your store, so finding ways to protect customers is key to protecting a business, too.

It’s a scary world out there with so many tools employed for hacking today to steal money from consumers and business owners. However, by staying aware and astute, you can win the war against ecommerce fraud.