Fraudology Podcast with Karisse Hendrick

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai Today, Karisse answers the most common questions she receives from Fraudtech Solution providers, especially in sales & marketing. (And although this episode is focused on solution providers, those on the merchant side of fraud can learn a lot too. And, I welcome your feedback!)Why is it so important for online merchants to know the ROI of a potential solution for fraud prevention, even if they know this will reduce chargebacks, increase customer experience, improve identity verification, reduce false positives, etc, etc.?Why is it so difficult for prospective merchant customers to return an e-mail? -especially if we had a great conversation at a recent event?Why won't e-commerce merchants be more open with us when we ask them about their current fraud or Trust & Safety issues?Sales in this space is very different from SaaS sales in other industries. If you don't try to understand your target market, you won't have success.Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai If you were to create a Venn diagram of the AML/Compliance and fraud prevention industries, there would be some overlap. Although often, the two departments within a company & the 2 industries don't collaborate as much as maybe they should. In today's episode, Stephen Sargeant, creator of Airdropd, a company focused on bringing together professionals in the crypto compliance industry talks about:His unique career path, why he went from being the Deputy Manager of Compliance Investigations at Bitfinex to creating his own company to share information & connect others in the AML/Compliance world of Web3Some of the massive opportunities created by all that encompasses "Web3", how "fraud is AML in motion", and why more people in fraud prevention should consider cross-training in complianceTips for how to get started in the Web3 world, whether in fraud or AML if you're interested in moving to the blockchain and crypto spaceSome great examples (and stories!) of crypto investigations and why regulations may help to prevent fraud that impacts customers & customer trustStephen posts educational content on LinkedIn, so be sure to connect with him! https://www.linkedin.com/in/stephen-brent-sargeant-cams/Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai In light of a controversial lawsuit filed by the US Federal Trade Commission (FTC) against Walmart, the large US retailer published a 9-page press release that included details about their efforts to prevent fraud targeting their wire transfer services. It is rare for any company to publish their fraud prevention strategies & practices publicly, providing a blueprint for a multi-layered approach to protecting customers, and the bottom line of a company.Why was the lawsuit filed? What lessons can other companies learn from this to prevent it from happening to them?What lessons can be learned from the various fraud prevention methods published by Walmart? (Even for companies that don't provide wire transfers)How can merchants use this news to communicate the value of fraud prevention to their leadership & cross-functional departments (including communications & PR)?Articles referenced/read from:https://www.ftc.gov/news-events/news/press-releases/2022/06/ftc-sues-walmart-facilitating-money-transfer-fraud-fleeced-customers-out-hundreds-millionshttps://corporate.walmart.com/newsroom/2022/06/28/ftc-lawsuit-against-walmart-is-unfounded-and-ignores-the-billions-walmart-has-saved-customersFraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai Whether it’s online poker, slot machines, other casino games, and/or sports wagering, online gambling/igaming has been common throughout Europe, Asia, and other parts of the world. But, the US has been slow to catch up. In the last 5 years, more than 2 dozen states have made online sports wagering legal, with online casino games legal in 6 states. With this online industry growing at a rapid pace, we can guess that at least 2 things are true. 1. There will continue to be more opportunities in fraud, payments & compliance within this vertical. And 2. Fraudtech solution providers are interested in providing their products & services to online casinos. Today, Dominick Squeo, former Director of Fraud Investigations at DraftKings is back to talk about some of the nuances of fighting fraud, while enabling speedy checkout to legitimate guests. Dom started in igaming in the US (New Jersey, the 1st state to make it legal online in the US) 5 years ago, shortly after the Supreme court reversed the previous rules that online gambling is illegal, Today, we talk about:-Some of the most common fraud issues within iGambling, and how each company’s business model makes a big difference in the methods a specific online casino may face. - How regulations within this space can both “help” & “hurt” an online gambling company in the fight against fraud.- Why so many vendors want to enter this market, the type of solutions that are most relevant & beneficial, and the one major hurdle all vendors need to go through in order to work with iGambling companies. To connect with Dominick: https://www.linkedin.com/in/sfd55/Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai 3 weeks ago, Visa made an announcement....that they were going to make an announcement about chargeback rule changes for 2023 on 2 webinars beginning the following week. In their pre-announcement, they stated the rule changes would be a welcome change for online merchants, who have been long plagued with 1st party fraud ("friendly fraud") chargebacks, that continue to rapidly increase. There was a buzz & excitement among enterprise merchants and online payments & fraud experts, hopeful that this information would reduce 1st party fraud chargebacks in the eco-system, and bring more fairness to CNP merchants in the chargeback process.But, after the webinars commenced, merchants were confused. Did they understand them correctly? Will this be the game-changing "solution" to reducing this issue as promised? In this episode, Karisse puts on her chargeback nerd "hat" and provides a deep dive into the rule changes as she understood them. Will these changes benefit merchants in a reduction of lost revenue due to friendly/1st party fraud? How will these changes impact chargeback recovery (representment) rates?Is Visa's solution that they suggest, the only way to solve this issue? *All information within this episode are Karisse's interpretations of what was shared by the Visa Risk team on the webinar for MRC members on 6-23-22, and the public-facing webinar on 6-28-22; all opinions & open questions are her own or were shared with her by fraud & payments professionals for enterprise-level merchants requesting anonymity. For the rule change information straight from Visa, the MRC webinar can be accessed by MRC members in their member library or will be available on the Visa Merchant website soon. For questions, contact your acquirer or your Visa representative (if you have one). If a representative from Visa is willing to join Karisse on a future episode of Fraudology to correct any of this information and/or answer additional questions, please reach out via LinkedIn. Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai For most card-not-present businesses, chargebacks are seen as an inconvenience and a cost of doing business. But, what if there was a way to learn from your company's chargebacks to not only reduce lost revenue but improve your customers' experience? Today's guest, Dominick Squeo, former Director of Fraud Investigations at DraftKings & currently a risk consultant for Eilers & Krejcik joins Karisse to talk about their shared experiences & lessons learned by managing chargebacks differently than the industry standard.Today they will talk about:How starting out on the chargeback side of fraud was a great teacher to Dominick, providing experience that has served him well throughout his careerThe strange coincidence Dom & Karisse have in common in their careers, the experiences & lessons learned from the methodology Karisse has been "preaching" for yearsWhy pre- and post- chargeback alerts are not the only way to reduce incoming chargeback volumeSome of the hidden benefits of performing root cause analysis, a specific path for 1st party misuse (friendly fraud) chargebacks, and strategically responding to the right chargebacks. Next week, Dominick is back to talk more about his experience working in igaming/online gambling in the US and what every prospective fraud-fighter in this vertical and vendor wanting to enter this market needs to know first.To connect with Dominick via LinkedIn: https://www.linkedin.com/in/sfd55/Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai A lot has happened in fraud & payments this past week! We can only fit so much into one episode, so today, Karisse will talk about:A recap of the NRF Protect conference in Cleveland, OH; Karisse will provide highlights & takeaways from the sessions focused on online fraud, presented by CardNotPresent .comProvide answers to the final 2 questions from the MRC Webinar she presented with Uri Arad at Identiq; One question asks about freight forwarders & refund fraud; the other asks about chargeback mitigation strategies for a BNPLA bit of an overview on the new chargeback rules announced by Visa to go into effect April 2023. We are still trying to nail down some specifics & hope to get to ask a few questions of Visa. But in the meantime, Karisse talks about what she knows at this point about the rules changes, and shares some of her own concerns about their solutions provided for 1st party fraud reduction. To watch a recording of the public webinar with Visa's announcements:https://event.on24.com/wcc/r/3732302/2E102B3780E0F6891425935A10254D90?mode=login&email=karisse@chargelyticsconsulting.comFraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai For most retailers, gift card fraud has been a continuous challenge. And especially given the tightening of regulations on crypto-currency & the Russian invasion of Ukraine, anonymous, untraceable gift cards are again a popular item with online fraudsters. Today, Jarrod Price, Director of Fraud Management at InComm Payments joins Fraudology to talk all about gift card fraud.Some of the most popular methods of fraud targeting gift card fraud, both online and in-storeImportant details to understand about your company's specific gift card fraud problems, and actionable best practices & strategy suggestionsWays to assess the performance of a current process or technology solution, and when to know it may be time to increase resources or add to your "risk stack".To connect with Jarrod (no sales pitches, please!): https://www.linkedin.com/in/jarrod-price-cfci-36983434/Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai The industry has long needed a “rebrand” from the term “friendly fraud”. And thanks to the efforts of several people in the industry, the shift from that term to “1st party misuse” is starting to catch on. Especially because “friendly fraud” is no longer concentrated to chargeback claims. We are now seeing other forms of abuse/theft targeting online retailers, with sometimes devastating losses associated. Last week, Karisse was on a webinar for the MRC with Uri Arad, co-founder of Identiq talking about “Friendly Fraud 2.0 - Refund claims fraud, “liar buyer”, and promo code abuse”. The webinar was so full of information, that they didn’t get to answer the many questions from the audience. So, Karisse offered to answer them on today’s podcast episode. Today, with the help of Uri via written answers, will provide answers to the following questions:Is promo fraud the new “Friendly fraud”?Is refund (claims) fraud & promo abuse actually growing or are we just better at detecting it now?Comments on disputing chargebacks; Our company disputes all CBs, and has success with banks. Still thinking we are losing $$ - thoughts?What about the role of regulations like Reg E & Reg Z, particularly in the US that aid in some of this behavior (1st party misuse)?Is promo code abuse “OK”when it’s built into the business case for the marketing activity from the outset?There were still 2 more questions we couldn’t get to on this episode, so we’ll include them next week. If you have more questions on this topic, let Karisse know via LinkedIn message or email. The original webinar w/ Karise & Uri is available to MRC members on demand on their member resource page.Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.

Fraudology is presented by Sardine. Request a 1:1 product demo at sardine.ai Most online fraud-fighters may daydream about seeing their most prolific fraud rings facing real-world consequences for their crimes. But, very few get to see that kind of justice served. For a variety of factors, most online companies do not have a post-transaction investigation department whose focus is on further investigations to tie all orders & accounts to one ring, identify the person/people behind the screens, and work with federal law enforcement agencies. But, the original Trust & Safety team at StubHub (until 2015) proved it can be done and can provide great benefits to the company in the form of restitution and reduced fraud attempts. And, they have the scars & stories to prove it! On this week’s episode, Karisse is joined by Robert Capps, former head of Trust & Safety for StubHub and current blockchain expert; along with Eric Boles, who transitioned to the “privcate sector” to create the investigations unit for StubHub from the US Secret Service, and now heads up an e-crimes department at Yahoo, Inc. On today’s podcast we talk about so much! Including:The catalyst for creating an internal investigations unit to focus on “catching” and prosecuting the most prolific fraudsters on the StubHub platform, and a few of the hidden benefits of these efforts they couldn’t have anticipated.What the World Series, the San Francisco Giants, and 2 of the most violent Chicago street gangs had in common; along with oither fascinating examples of what was discovered when the investigations team identified the people behind the large-scale fraud threats, and what other crimes these fraudulent purchases funded.Why merchants & marketplaces should re-consider their strategy against long-term deterrence from committing fraud on their websites & services, and a few ways to get started if this is something you want to duplicate.Links:Connect with Robert Capps here: https://www.linkedin.com/in/rwcii/Connect with Eric Boles here: https://www.linkedin.com/in/eric-b-21605942/To read one of the many articles that was the result of their efforts at the time: https://www.usatoday.com/story/tech/2014/07/23/cyberthieves-stubhub-fraud/13036243/Fraudology is hosted by Karisse Hendrick, a fraud fighter with decades of experience advising hundreds of the biggest ecommerce companies in the world on fraud, chargebacks, and other forms of abuse impacting a company's bottom line. Connect with her on LinkedIn She brings her experience, expertise, and extensive network of experts to this podcast weekly, on Tuesdays.