In today’s business environment, small-business owners rely on credit card purchases. Cash is becoming old fashioned. Most consumers use plastic, even for purchasing small items. Paper checks are fast disappearing, leaving large purchases the exclusive domain of credit and debit cards.
Finding a credit card processor with up-to-date security features is essential. Did you know that a credit card data breach costs small businesses an average of $141 per account? A breach of 100 accounts takes the tab well over $10,000. Few small businesses can absorb losses at that rate. Below are some good ways to keep your credit card transactions secure.
Use an Address Verification System
AVS also known as address verification system is used by banks and credit card associations to compare the credit card owner’s address to information on file. When a merchant or business makes an authorization request the issuing bank can then verify and issue a full match, partial match, partial match zip code, no match, international, or unavailable code. Receiving a full match code assures you there is little risk in processing the payment.
Use a Chip Reader
As you’ve seen, many retailers now use chip readers. It’s the easiest way to avoid the most common type of fraud, counterfeit cards. And once you do upgrade, if credit card fraud does occur, you are not liable.
Keep Abreast of PCI Security Standards
The Payment Card Industry has security standards established to guide small businesses. These guidelines provide instructions on how to accept, send, and store cardholder information. Keeping compliant is your responsibility as a merchant and is effective in avoiding credit card fraud. You can find the latest standards here, PCI Security Standards online.
Accept International Cards with Care
In addition to higher fees, international cards come with a higher fraud risk. This is because international issuers are less known; however, many international issuers are first rate and present an opportunity to increase business. If just getting started in international credit card acceptance, try starting small. For example, use well-known Canadian or Mexican issuers and grow from there.
Train Staff on Credit Cards
Staff members who work with credit cards should be trained on how to use the system and protect sensitive information. Once data is collected, any staff members who use that data should be trained in security protocols. A little training can save big money down the line.
Merchants today have no choice but to make credit card transaction safety practices top priority. Let your merchants know if a lack of funding is preventing them from using all the latest technologies in credit card transactions they can apply for a merchant cash advance and receive the funding in as little as one hour!