As a high-risk business in adult entertainment, CBD, travel, or gambling, you know the sinking feeling of a chargeback notification all too well.
It’s not just about a lost sale. Every disputed transaction strains relationships with payment processors and risks account termination.
Modern fraud prevention services aren’t about building up walls. They’re about being smart about payment security. The right solution works quietly in the background, keeping the good transactions flowing while stopping the sketchy ones. Here are the top five features that separate good fraud prevention services from the rest.
Real-Time Transaction Monitoring
In high-risk sectors, fraud evolves by the minute. A lag of even a few hours in detecting suspicious activity can lead to thousands in losses.
Real-time transaction monitoring cross-references data points like IP geolocation, device fingerprints, and purchase history to flag anomalies. For example, a $500 booking from a new device in a high-fraud region triggers an instant review, while recurring CBD orders from a trusted customer proceed seamlessly.
Platforms like FastoSafe combine real-time alerts with dynamic risk scoring, allowing you to block fraud without interrupting legitimate sales. This balance is critical for industries like gaming, where false declines can alienate loyal users.
Dynamic Authentication with 3D Secure
Static verification methods are no longer enough when it comes to online transaction fraud prevention.
Look for a solution that offers dynamic authentication methods such as 3D Secure 2.0. This technology works by analyzing the risk level of a transaction in real time, and only challenging those that appear suspicious.
But you don’t want honest customers to jump through unnecessary hoops. That impulsive 3 AM purchase from a trusted customer’s usual device? Smooth sailing. But that high-value order from an unfamiliar location with mismatched shipping details? That’s when additional verification kicks in: maybe a quick fingerprint scan or a one-time code.
Chargeback Alerts and Evidence
Every $100 lost to fraud actually costs you $360, due to fines and operational costs.
Modern fraud protection tools provide an early warning system so you can stop disputes before they turn into chargebacks.
Look for services that partner with networks like Ethoca and Verifi, providing real-time alerts when a customer initiates a dispute.
This lets you issue refunds before a chargeback is requested, avoiding costly fees. For instance, a travel agency could resolve a “services not rendered” claim by sharing booking confirmation and delivery proof within hours.
Compliance with Global Standards
Running a high-risk business can feel like living under a microscope. Payment processors watch your every move, and regulators have high expectations.
Different industries bring different challenges. THC merchants need rock-solid age verification. CBD merchants must prove they’re not shipping across restricted state lines. Get it wrong, and you’re not just risking a fine, you could lose your ability to process payments entirely.
Smart fraud prevention services must enforce compliance without manual oversight.
Payment Gateway Integration
The best security is the kind your customers never notice. Prioritize solutions that integrate natively with your payment stack, whether you use Shopify, Stripe, or a custom high-risk gateway.
Say you’re a CBD store using WooCommerce during a Black Friday rush: smart fraud prevention adapts automatically, keeping legitimate sales flowing while blocking suspicious activity. The same goes for the mobile experience. When your customers are booking travel deals or making in-game purchases, they expect Face ID or Touch ID to just work. No hiccups, no lag, no friction.
Final thoughts
Choosing between fraud prevention services shouldn’t be about only avoiding losses. With fewer chargebacks, you’ll negotiate better processing rates. With airtight compliance, you’ll expand into regulated markets. And with AI-driven insights, you’ll uncover trends to refine pricing or inventory.
Remember, every declined transaction has a story: it could be a loyal customer trying to make a legitimate purchase, or a sophisticated fraudster testing your defenses.
The right fraud prevention tools help you tell the difference, protecting your revenue without sacrificing the customer experience that built your business in the first place.
FastoSafe offers a complete suite of fraud prevention services designed with high-risk businesses in mind. With our market-leading technology and proven track record, you can trust that every transaction is secure and every chargeback is minimized.
