Many startups and growing businesses don’t realize how critical fraud prevention is until they’re knee-deep in disputes or scrambling to recover lost revenue. By then, it’s often too late.
Fraud protection isn’t just about stopping bad actors, though that’s a big part of it. The right tools, like FastoSafe’s AI-powered platform, can actually boost your payment approval rates, lower processing fees, and make your business more attractive to payment processors.
As Dennis, our CEO puts it: “One overlooked aspect of fraud prevention is how it directly improves approval rates. Businesses that invest in strong fraud protection see fewer declines and lower processing costs, saving them money in the long run.”
Let’s explore the best fraud protection services tailored for high-risk businesses in 2025 as well as why this investment pays off in ways you didn’t imagine.
Why High-Risk Businesses Can’t Afford to Skip Fraud Protection in 2025
High-risk industries (think CBD, gaming, travel, or subscription services) are magnets for fraudsters. But the real issue isn’t just losing money to scams.
Payment processors and acquirers scrutinize these businesses more heavily. A single spike in chargebacks can lead to frozen accounts, higher processing fees, or even losing your ability to accept payments altogether.
In 2025, fraud tactics are smarter. AI-driven scams, synthetic identities, and “friendly fraud” (where customers falsely dispute charges) are on the rise. Without robust protection, you’re left exposed to these attacks vectors.
Anti-fraud tools: Your key to better approval rates and lower costs
The magic of robust fraud prevention isn’t just stopping the bad guys. It’s giving the green light to good customers who might otherwise get caught in overly cautious filters.
Every time a legitimate customer gets their card declined, you’re not just losing that sale, you’re potentially losing a customer for life. Studies show 40% of shoppers will abandon a brand after a single payment rejection.
When your payment processor sees you’ve got sophisticated fraud screening in place, they gain confidence. That confidence translates to higher approval rates, smoother checkouts, and customers who rave about their experience rather than complain about it.
Best 3 Fraud Protection Services for High-Risk Businesses
FastoSafe
FastoSafe offers multi-layered fraud and chargeback security. Our pricing varies based on industry and projected sales volume.
We verify customer identities through multiple methods including 3D Secure 2.0, which shifts financial liability from merchants to card issuers. For high-risk industries, our AI system learns each business’s normal transaction patterns to flag unusual activity instantly.
By analyzing device fingerprints, geolocation data, and behavioral patterns, we block suspicious transactions before payment processing begins.
We help identify red flags through daily transaction monitoring, looking for payments from unfamiliar locations, mismatched addresses, or duplicate charges. For physical stores, we support EMV chip technology that creates unique transaction codes, making counterfeit cards ineffective at point-of-sale terminals.
Our end-to-end encryption shields customer information during transmission and storage, preventing unauthorized interception and building customer trust.
Our clients typically see a 70% reduction in chargebacks within the first 60 days — get your free fraud assessment.
Signifyd
Signifyd simplifies fraud prevention for online businesses by combining machine learning with a clear, scalable pricing structure.
Built to boost sales while minimizing risk, it focuses on approving legitimate orders, blocking fraud, and ensuring compliance, all without complicating your workflow.
Signifyd offers comprehensive fraud protection through a cloud-based platform that leverages real-time machine learning to automate fraud prevention.
This enables businesses to boost sales and expand into new markets while effectively managing risk.
When a customer places an order on your BigCommerce store, Signifyd automatically evaluates the transaction and advises you on whether to proceed with fulfillment.
Their decisions are backed by a 100% financial guarantee against fraudulent chargebacks, allowing you to focus on growing your business without the concern of fraud-related liabilities.
Standard pricing sits at $1,500/month and all approved orders are charged at .8% of the total order amount.
Riskified
Riskified’s AI system analyzes hundreds of data points in real-time, effectively separating legitimate customers from fraudsters while integrating seamlessly with existing eCommerce systems with minimal operational disruption.
Plus, the platform includes a comprehensive transaction analytics dashboard and robust protection against various types of policy abuse such as promotional code misuse, return fraud, and unauthorized reseller activity.
Recognizing different market needs, Riskified has developed targeted solutions for luxury goods, retail, digital products, and travel sectors.
As for pricing, Riskified employs a straightforward pay-per-transaction model starting at 0.4% with no setup fees or monthly minimums.
Rates adjust based on sales volume, industry type, and individual risk profile, making it adaptable to different business models.
Riskified does come with some limitations. When merchants use Riskified’s system, they’re essentially outsourcing their fraud decision-making.
While this transfers financial risk to Riskified, it means merchants can’t override decisions about which orders to approve or decline.
This could affect customer relationships if a merchant believes certain declined orders are actually legitimate.
The Make-or-Break Features Your Fraud Prevention Tool Needs in 2025
To protect your business from chargebacks and fraud, look for these fraud prevention solution features.
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 monitoring cross-references IP geolocation, device fingerprints, and purchase history to flag anomalies instantly. A $500 booking from a new device in a high-fraud region triggers immediate review, while recurring CBD orders from trusted customers proceed seamlessly.
FastoSafe combines real-time alerts with dynamic risk scoring, allowing you to block fraud without interrupting legitimate sales, critical for industries like gaming where false declines alienate loyal users.
Dynamic Authentication with 3D Secure
Static verification methods are insufficient for preventing online transaction fraud.
Leading solutions offer dynamic authentication through 3D Secure 2.0, analyzing risk levels in real time and only challenging suspicious transactions.
This approach removes barriers for legitimate customers. That 3 AM purchase from a trusted device? Smooth sailing. A high-value order with mismatched shipping details? That’s when additional verification activates, perhaps a fingerprint scan or one-time code.
Chargeback Alerts and Evidence
Every $100 lost to fraud actually costs you $360 when accounting for fines and operational expenses.
Modern fraud prevention tools provide early warning systems to stop disputes before they become chargebacks.
Look for services partnered with Ethoca and Verifi that provide real-time alerts when customers initiate disputes. This allows you to issue refunds before chargebacks are filed, avoiding costly fees. A travel agency can resolve “services not rendered” claims by quickly providing booking confirmation and delivery proof.
Compliance with Global Standards
Running a high-risk business places you under constant scrutiny from payment processors and regulators.
Different industries face unique challenges: THC merchants need robust age verification, while CBD merchants must prevent shipping to restricted states. Compliance failures risk not only fines but loss of payment processing capabilities.
Effective fraud prevention enforces compliance automatically, without requiring manual oversight.
Payment Gateway Integration
The best security remains invisible to customers. Prioritize solutions that integrate natively with your payment stack, whether you use Shopify, Stripe, or a custom high-risk gateway.
For a CBD store using WooCommerce during Black Friday: smart fraud prevention adapts automatically, maintaining legitimate sales while blocking suspicious activity. This seamless experience extends to mobile, where customers expect Face ID or Touch ID to work flawlessly for travel bookings or in-game purchases.
How To Protect Your High-Risk Business With FastoSafe
In 2025, high-risk fraud prevention is essential for sustainable growth.
Implementing the best fraud protection services like FastoSafe can help reduce chargebacks and enhance payment approval rates.
Ready to safeguard your transactions? Get a free risk assessment from FastoSafe by clicking the button below.
