How to reduce the risk of manual transaction fraud
Fraud is an ongoing risk for any business, and one of the most common methods is manual card entry. When card information is keyed in, it creates opportunities for fraudulent transactions and, if successful, your business is liable.*
Understanding the warning signs and following best practices can help reduce your risk.
Common red flags to watch for
Be cautious if you notice any of the following:
- Using a card that fails all three entry methods: EMV chip, contactless, and magnetic strip
- Requesting that a card be entered into the point-of-sale manually by the clerk
- Attempting to enter credit card information manually without the card in hand
Protecting your business
Merchants are not required to process manual credit card transactions. If a customer’s credit card fails the more secure entry methods, it is best practice to request another form of payment.
Manual transaction fraud can lead to financial losses, chargebacks, and added fees, but staying informed and alert can make a big difference. By understanding the risks and proactively following best practices, you can help safeguard your business and reduce exposure to fraudulent activity.
If you have any questions about potential fraud or fraud prevention, please contact CHS Payment Solutions by phone at 800-852-5301 or email at pssupport@chsinc.com.
*To view the card brand rules, visit the Payment Solutions page on CHS Portal.
