International orders pose risks

[hassen1]

E-tailers are responding to the opportunity represented by international e-commerce — 61 percent of merchants accept orders from outside the U.S. and Canada, and those orders represent 17 percent of their total order volume. But this business carries greater fraud risk. Survey respondents said that in 2006, 2.7 percent of international orders were fraudulent, a rate 2.5 times higher than the rate associated with U.S. and Canadian orders at 1.1 percent. Web shop owners reject 12.7 percent of international orders, consistent with last year's findings, a rate nearly three times that of orders originating in the U.S. or Canada.

[mini_0]

No doubt the amount of international orders being fraudulent as the system cannot recognize and check the authenticity of the addresses . The most important warning sign of fraudulent transaction are international orders. It is very sad to be so generic with this statement but the percentage of having a fraudulent orders goes up immediately if the order comes from a non-US location. Be aware of cities or countries with high rates of fraudulent transactions. Malaysia, Indonesia, and most countries of the former Soviet Union tend to be source of many fraudulent orders.