PayPal & Fraud Prevention Insights

Please note:

  • Pricefalls relies on PayPal to detect fraud and offer seller protection on Pricefalls orders. On Pricefalls, fraud prevention is the responsibility of the seller.
  • Before making any changes to your payment gateway, speak to your IT department.
  • These are our opinions and best practices to prevent fraud on Pricefalls, but we do not speak for PayPal or

Preventing Fraud with PayPal

To start editing fraud filters, you will need to visit your PayPal account. Fraud filters are a feature only accessible by PayPal Business Accounts and may not be available in all countries, so check with PayPal for availability if you are unsure.

Once you have accessed your account, you’ll want to go to your Account Profile -> My Selling Tools. In this section you’ll look for sections dealing with “Getting Paid” and “Managing My Risk”. In these locations you’ll find the settings for “Managing Risk and Fraud” so that you can change your filters. The screen with the fraud filters should look like this:


On this screen, you can choose to activate your filters to only accept certain checkout options.

Basic Filters:

  • Maximum Transaction Amount – Flag, review, or deny any order over a certain dollar amount.
  • Unconfirmed Address – Flag, review, or deny any order that has not been PayPal address verified.
  • Country Monitor – Flag, review, or deny any order in countries of your choice.

Advanced Filters: AVS (Address Verification System)

  • AVS No Match – Flag, review, or deny payments when no part of the customer’s billing address matches information stored by AVS.
  • AVS Partial Match – Flag, review, or deny payments when a customer’s billing address partially matches information stored by AVS.
  • AVS Unavailable/Unsupported – Flag, review, or deny payments when a customer’s billing address can’t be verified by AVS. AVS is supported by most credit cards in the United States, but is not supported by all cards worldwide.
  • Card Security Code (CSC) Mismatch – Flag, review, or deny payments when the CSC entered by the customer doesn’t match the CSC stored by the card issuer.

Setting up these filters will greatly reduce the amount of risky or fraudulent orders. If you have any additional questions about the filters and how they affect payments, we recommend contacting PayPal support.

Preventing Fraud with Authorize.Net

Advanced Fraud Detection SuiteTM

As a part of your Authorize.Net account, Authorize.Net provides an add-on that can help online retailers manage and reduce fraud on their account. This is known as the Advanced Fraud Detection SuiteTM. This service comes at no additional cost to you, and can easily be signed up for at the following location:

If you have any questions or concerns about adding this to your Authorize.Net account please be sure to contact Authorize.Net support. You can also find answers to most frequently asked questions here:[]=en-US

Shipping Tips: Decrease Fraud Risk

Even having set up these filters in either PayPal or Authorize.Net, you will still need to ensure that you are protected in the event that an order turns out to be fraudulent. Keep in mind that you may receive certain claims after a product has shipped, such as “I never received my package.” or “This was not what I ordered.” The following details help protect you in the event of a customer claim:

  • Insure your package
    Buying postal insurance for your item will protect you should your shipment get lost in the mail or if the buyer claims the package was never delivered.
  • Track your package
    Maintain proof that the buyer received your package and create a better customer experience. Promptly send the tracking number to your buyer so they can feel satisfied as they monitor its delivery progress. Use delivery confirmation as an added precaution.
  • Watch for address inconsistencies
    A shipping address that is different from the billing address is fairly common, however this could be a fraud indicator. For instance, a high-priced item that has a billing address in one country and a shipping address in another may be suspicious.
  • Beware of unusual buyer requests
    Unusual requests should put you on alert to suspicious activity. A few examples are buyers who:
    • Want a rush shipment at any cost.
    • Request to change addresses from what is listed on the order, especially mid shipment. Changing the address on an order could remove any protection you have through your payment gateway.
  • Check out your buyers
    Do they have a Confirmed address?
    Is their PayPal account verified?

When in Doubt, Contact the Customer

If all else fails, be prepared to contact the customer if they appear fraudulent. Pricefalls Marketplace is special in that it offers you direct customer contact up front, including phone number, email, and internal messaging through the Pricefalls system. You are able to contact the customer, even outside our system.

That said, if you contact a customer, be aware of the following flags in the conversation which can tip you off to fraud:

  1. Refusal to confirm shipping details, incorrectly confirming any details, or refusal to answer basic questions about the location or person that a product is being shipped to.
  2. Requesting to end the call quickly without confirming information or further follow-up.
  3. Becoming upset with your order validation outreach.
  4. Customer requests to ship the product to another location that wasn’t provided at the time of purchase. Changing the address on an order could remove any protection you have through your payment gateway.

If any of these flags are found when researching possible fraud, we suggest to proceed with caution before shipping out any product. Always keep in mind that you do have an expected ship date that needs to be met and if an order is deemed as fraud, it should be canceled by that date.

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