How to Prevent WooCommerce Fraud

Despite its name, there’s nothing friendly about the friendly fraud. It’s not having your card abused by a friend, either. Also known as chargeback fraud, friendly fraud is a situation in which a fraudster makes a seemingly legitimate (but essentially false) claim in order to receive a chargeback or a refund. He may say, for instance, that the goods never arrived (although they did) or that he sent the goods back (which he didn’t). This constitutes a basis for a chargeback, in which case the bank or the credit card network refund the sum to the fraudster, and the eCommerce business through which the purchase was completed still has to pay the same amount to the bank.

Note that with this method the fraudster uses his or her own credit card – there’s no need to use stolen card details to complete the fraud.