{"id":1997,"date":"2020-01-14T12:23:46","date_gmt":"2020-01-14T06:53:46","guid":{"rendered":"https:\/\/razorpay.com\/learn\/?p=1997"},"modified":"2024-08-21T19:44:02","modified_gmt":"2024-08-21T14:14:02","slug":"ecommerce-fraud-types-impact","status":"publish","type":"post","link":"https:\/\/razorpay.com\/learn\/ecommerce-fraud-types-impact\/","title":{"rendered":"A Short Guide to E-Commerce Fraud"},"content":{"rendered":"

fraud (n)<\/span><\/p>\n

    \n
  1. wrongful or criminal deception intended to result in financial or personal gain.<\/span><\/li>\n
  2. a person or thing intended to deceive others, typically by unjustifiably claiming or being credited with accomplishments or qualities.<\/span><\/i><\/li>\n<\/ol>\n

    E-Commerce is undeniably one of the biggest sectors in online business. As a sector that continues to blow up in size, volume and influence, it is no surprise that fraud still exists through the loopholes in the system.<\/span><\/p>\n

    Fraud in e-commerce has substantially increased globally over the last few years with the immense rise in online marketplaces. With more sophisticated technology available to fraudsters, it\u2019s only become more difficult for e-commerce businesses to keep a track of the tactics used to defraud online businesses.<\/span><\/p>\n

    Whether you\u2019re simply making a purchase or starting your own business, it\u2019s essential to stay vigilant of the types of frauds that exist in the eCommerce industry. In this article, we\u2019ll be covering the lifecycle of how frauds are performed and how to formulate a solution for the same. Let\u2019s begin!<\/span><\/p>\n

    \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0Related Read: Ecommerce Payment System?<\/a><\/span><\/p>\n

    Why does fraud take place?<\/span><\/h2>\n

    Payment fraud<\/a> has existed for a long time now, but what makes eCommerce fraud a cause for concern? What is the difference?<\/span><\/p>\n

    Well, the difference is simple. The latter mostly occurs remotely and the fraudster requires only the card information of the user to execute the ploy. Generally, fraudsters perform this to obtain a profit– to extract money, goods or sensitive information from the victim.\u00a0<\/span><\/p>\n

    Hackers usually do one of the following things during\/after the fraud:<\/span><\/p>\n