| Payment Instrument | General Fraud | Chargebacks and Customer Fraud | Customer Security | Risk Score Level |
 Credit
Cards |
High
Probability- for both Customer and Merchant: 1) Anyone with access to the card details can use it to commit fraud; 2) Any customer just have to phone their bank to make a chargeback, easy as that to get their money back and merchant has to pay |
2 Key risks apply: 1) International payments show high customer fraud. Customer typically receives the order, then charges it back aferwards knowing very well the merchant will not litigate. (*merchant looses the payment, the merchandise and must pay the banks penalty fee) 2) Merchant looses the account once chargeback rate goes over 1%(master) or 2%(visa) |
Customer has to disclose personal and card secure data, exposing it for high probability of online fraud by any 3rd party with access to it | 3 |
 eChecks |
Low Probability (has an e-signature feature and phone verification system) |
Not as likely as with credit cards due to your own MID, e-signature feature and phone verification system | Verification phone calls placed to customers to confirm and verify the payments before it gets approved, eliminates any 3rd party fraud attempts | 1 |
 Cash
Vouchers |
Very Low Probability | None | Very secure.
No risk. No secure details disclosed by customer |
0 |
 Instant Bank Payments (from your own bank) |
Very Low Probability | None (only where a fraud case was made by customer bank) |
Very secure.
No risk. Customer uses their normal internet banking to send payments. No secure details disclosed by customer! |
0 |
Score: 3= very high risk | 1= low risk | 0= virtually no risk |
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