Regulators target middle men of online fraud
When online sellers take your money but never deliver, tracking them down can be nearly impossible. Now, federal regulators are going after the credit card processors. The Federal Trade Commission (FTC) is targeting credit card processors for failing to prevent online fraud. In a recent settlement, payment processor Humboldt Merchant Services agreed to pay $12 million and be permanently banned from processing payments for merchants with a heightened risk of fraud. The FTC's complaint stated that the company processed payments for over a thousand merchants it knew were shell entities that served as fronts or pass-throughs for third parties engaged in unauthorized billing scams. Some merchants had chargeback rates almost 10 times higher than what credit card networks consider excessive. The report also revealed that nearly 30% of people who reported losing money to a scam started on social media, with reported losses reaching a staggering $2.1 billion.
Opublikowany : 20 godzin temu za pomocą Matt GephardtKSL w Business Finance
SALT LAKE CITY — You order something online. You pay. But you don't get it.
It happened to Joyce Lake. She paid $50 for a doll that she saw advertised on Facebook.
"I decided that I wanted one," she... [2528 symbols]
Tematy: Fraud, Cyber Crime, Corruption
