The Chargeback Crisis
High chargebacks threaten your business:
- Payment processors may terminate your account
- Fees eat into already-thin margins
- Time spent fighting disputes
If your chargeback rate exceeds 1%, you’re in danger.
Where Chargebacks Come From
Friendly Fraud
Customers claim they didn’t order (but did).
True Fraud
Stolen cards used on your store.
Clone Site Confusion
Customers buy from clones, charge back to you.
Geographic Patterns
Fraud is often concentrated by region.
Reducing Fraud Chargebacks
Analyze Your Data
Before blocking, understand:
- Which countries have highest fraud?
- Do you ship to those regions?
- What’s the VPN fraud correlation?
Geographic Blocking
Block high-fraud regions you don’t serve:
- No legitimate sales lost
- Significant fraud reduction
- Lower chargeback rate
VPN Blocking
Fraud often comes through VPNs:
- Real location hidden
- Multiple accounts possible
- Harder to trace
With SecurEcommerce
- Review fraud patterns by geography
- Block non-shipping countries
- Enable VPN detection and blocking
- Monitor chargeback improvements
Expected Results
Merchants typically see:
- 20-50% fraud reduction from geographic blocking
- Additional reduction from VPN blocking
- Improved chargeback rates over time
Payment Processor Considerations
If you’re already in trouble:
- Implement blocking immediately
- Document your fraud prevention efforts
- Communicate with your processor
- Show declining chargeback rates
Proactive fraud prevention can save your processing relationship.