With Internet and online payment, customers can order and pay for enterprise any time, from any where in the world. Payment on Internet help enterprise expands business, increase ability of competition but face risk.

Customer can order and pay for merchant on website by international credit or debit as Visa, MasterCard, American Express,…The whole operation from select goods, order and do payment are performed on Internet.

The simple and convenient process implies multiple risks because:

The customer authentication of business is limited: physical card is not checked, invoice do not has signature of buyer.

The goods review from customer is limited: can not check actual goods before payment.

The successful of online payment transaction do not mean a successful buying and selling transaction.

If the card information is exploited or merchant does not provide goods, service as engaged, cardholder has the right to complain with issuer bank about the card payment transaction. This will initial charge backs transaction.

When there are charge backs transactions, merchant may be required to pay back amount of payment that acquirer bank advanced.

Visa international card organization offer 15 steps to reduce risk during processing online payment for merchants:

1. All related staffs must be trained to understand about risk management

2. Select the prestigious issuer bank and payment gateway provider

3. Website with complete information<

4. There are tools to support the risk reduction

5. In internal business, there is a system to prevent the risk

6. Learn the support tools of international card organization, acquirer bank, payment gateway provider

7. Apply risk management tool to exclude fraud transactions

8. Joint the risk reduction program which is offered by international card organization such as Verified by Visa

9. Protect Merchant Account, against the attack of the crime

10. Build the cardholder authentication process.

11. Business that is implemented after customer’s payment.

12. Security for customer personal information

13. Prevent actively chargeback transaction

14. Analyze and find the method to reduce the rate of chargeback

15. Solve positively chargeback transaction to minimize losses