Credit Card Processing Services
How to prevent credit card fraud and revenue loss
Teleflora recognizes the risk involved with processing credit cards. To help protect our merchants against fraud and chargebacks, Teleflora monitors credit card transactions daily for instances of fraud, keying errors, possible duplicate processing mistakes and erroneous refunds. We may proactively call you to verify account activity and discuss fraud prevention methods you can use to protect yourself and prevent revenue loss in the future. While Teleflora tries to identify most instances of credit card fraud, prevention begins with you. Below is a list of Teleflora-recommended fraud and chargeback prevention proceedures.* Please read the following information before you process any credit card transactions.
Helpful tips when processing credit card transactions:
1. Whenever possible, swipe the credit card through your credit card terminal. If your terminal cannot read the magnetic strip and you must key in the credit card number, make an imprint of the card. These measures prove that the card was present at the point of sale. If a cardholder disputes a charge for which there is no proof that the card was present, it will result in a chargeback. 2. When taking orders over the phone, ask the customer to turn the card over and give you the card security code (CVV2/CVC2/CID). This is the three-digit number imprinted on the signature panel of Visa, MasterCard and Discover cards (The American Express security code is four digits and appears above the account number on the front of the card). If the caller is unable to provide the security code, the caller does not have the card in his possession and may be using someone else’s card number fraudulently. 3. Consider setting a dollar limit for phone orders above which you will require a signature before filling the order. Additionally, when a customer phones in an order for pickup, ask the cardholder to present the card and sign the sales draft upon receipt of the merchandise. 4. Confirm the cardholder’s telephone number and address in a phone book, on the Internet, or by using directory assistance. 5. Ask which bank or financial institution issued the credit card. If the caller is unable to provide this information, the caller does not have the card in his possession, the caller may be using someone else’s card number fraudulently. 6. An authorization approval does not guarantee the transaction is not fraudulent, nor does it protect you from chargebacks. When you receive authorization for a transaction, this only confirms that the credit card has not been reported lost or stolen at the time of purchase, the card number is valid and the credit limit has not been exceeded. It does not guarantee that the caller placing the order is authorized to use the credit card. So if you have a bad feeling about an order, trust your instincts and obtain additional verification.
*Teleflora does not guarantee that these recommended procedures will ensure collectability.
Teleflora’s Credit Card Processing Services 1.800.331.8792 11444 West Olympic Boulevard, Los Angeles, California 90064
Free Fraud-Prevention Services to Teleflora Members Teleflora provides three complimentary services that can help you identify fraudulent card use: 1. Card Security Code Verification (CVV2/CVC2/CID)** – Verifies that the credit card is in the customer’s possession. Use this option for card-not-present transactions. • Perform the normal credit card transaction. • When prompted, enter the customer’s three or four-digit security code. 2. Address Verification Service (AVS) – Provides a cardholder’s billing address. Individuals using a card number fraudulently often do not know the cardholder’s billing information. Use this option for card-not-present transactions. • Perform the normal credit card transaction. • When prompted, enter the customer’s five-digit billing zip code. 3. Magnetic Strip Fraud Check – Ensures that the card’s magnetic strip and credit card number have not been altered. Use this option for card-present transactions. • Perform the normal credit card transaction. • When prompted, key in the last four digits of the card number.
NOTE: When using the tools above to verify cardholder information, if your terminal responds with “NO MATCH” OR “N,” you can still process the transaction. However, these messages are strong indications that the transaction is fraudulent and further verification may be necessary.
Additional Fraud Prevention Resources The following card association websites provide additional information on credit card fraud and chargebacks:
Visa http://usa.visa.com/merchants/risk_management/fraud_control_basics.html
MasterCard http://www.mastercard.com/us/merchant/security/protecting_your_business.html
American Express Choose “Fraud Prevention” from the “Support & Services” menu at the top of the page. https://www209.americanexpress.com/merchant/marketing-data/pages/home?inav=merch_home2
Discover Card http://www.discovernetwork.com/fraudsecurity/fraudsecurity.html
**CVV2/CVC2/CID capability varies depending on equipment type and platform.
Teleflora’s Credit Card Processing Services 1.800.331.8792 11444 West Olympic Boulevard, Los Angeles, California 90064