FDIC outlines traits of risky transactions

FDIC outlines traits of risky transactions

SSL certificates and PCI compliance are great ways to make sure online transactions go smoothly, but there are other ways cybercriminals can scam people out of money. The Federal Deposit Insurance Corp.'s Cyber-Fraud and Financial Crimes Section head Michael Benardo said there are some obvious things that companies need to look out for, according to BankInfoSecurity.

"Institutions need to be on the lookout for a high rate of return on products," Benardo says during an interview with BankInfoSecurity's Tracy Kitten. "In some of the cases we're investigating, we're seeing return rates of over 50 percent; that means more than half of the consumers who are buying products are returning them."

Benardo said they have seen an increasing number of transactions where clients are considered high risk, which means merchants charge customers for questionable or fraudulent goods. In a previous story on BankInfoSecurity, the FDIC's revised guidelines for payment processing was discussed, which noted that financial institutes should monitor, understand and verify the activities of entities online and in telemarketing, as they are a bit riskier.

Companies who sell items online should invest in PCI compliance and other security measures to make sure customers' credit card and information is safe as can be.