Stripe is the payment gateway used on the Atlas platform. It has served as a great solution for Crowdfunding platforms and is one of the most secure and easy to implement payment gateways available. However you need to be careful of credit card fraud. This type of fraudulent behavior is bad for both your platform, and the Stripe gateway, and should be avoided at all costs. Unfortunately, you cannot always prevent these types of transactions on your site, and if a high enough percentage of the transactions occur, Stripe will let you know and may send some warnings. This article will help you to gain the knowledge to prevent these transactions and keep your Stripe account active at all times.
What is online payment fraud? Online payment fraud is when someone uses a stolen credit card to make a purchase online. This is fraudulent behavior that Stripe can detect on their payment gateway.
Enter Stripe Radar
If Stripe can see that there are a high enough level of fraudulent activities on your account, you will be notified. You do not want to however be forced to switch payment gateways. This can be devastating for your Crowdfunding portal, as changing the payment gateway is both, time-consuming, and costly. There is, however, a solution called Stripe Radar. What is stripe radar? Stripe radar uses machine learning to prevent fraudulent users from performing transactions on your site. This is a great solution, as it reduces fraudulent behavior and will help you keep your Stripe account active. The best part about using radar is that it does not require any additional set up. Using radar has been proven to significantly decrease the fraudulent behavior on online platforms. See what Kinsta has to say about their experience using Stripe Radar.
How does it work?
Stripe Radar will detect any potentially fraudulent transactions performed on your account. This is done by machine learning. Once a transaction is detected, which could be fraudulent, you as a Stripe account owner have the option to be notified for your review. This way, you can decline any potentially illegal transactions on your platform.
Using Stripe Radar
Stripe Radar is enabled by default, and you can see by logging into the Stripe dashboard, on the left-hand side menu.
Click on the Radar menu. You can see multiple options.
If you would like to get alerts or block any potential illegal transactions, then simply click on the “Rules” option.
You can apply rules by adding statements, variables, and other code through the dashboards UI. Click here to learn more about adding rules for the Stripe Radar. There are two options, you can either block particular transactions or create a statement to have the transaction reviewed.
Using alternative methods
In addition to using Stripe Radar, one can also use other tools/features on the Atlas platform that can help reduce the fraudulent behavior such as sending campaigns for review and using post-processing, so those campaign creators can further check which users are donating to the campaigns.
Stripe is a well-respected payment gateway that was designed to be a better solution than other payment processors. Since the Stripe gateway is gaining more market share when it comes to platforms using their product, they are forced to “crack down” on anything that could threaten their reputation for being an amazing payment gateway. We would like our customers to be aware that these instances may occur, and would like to offer solutions as mentioned above that could help avoid any fraudulent behavior.