E-Commerce Fraud Essay

(6) Transparency in Transactions- E-Banking has improved transparency in transactions. E-Banking allows customers to open accounts, pay bills, view account balances, complete loan applications, calculate interest, etc.

The electronic banking has various advantages than the traditional banking system which is simple and convenient for the users. The advantages are-

The early warning signs of fraud are, usually, always ignored. There are warning signs for every type of fraud out there. To understand the warning signs of fraud, we must first know what fraud is. Fraud is the intent to trick someone or lie to someone in order to receive financial gain. This definition varies depending of the type of fraud used, but the person committing the fraud is always looking for financial gain. There are many types of fraud out there. You have Medicare fraud, internet fraud, mortgage fraud, loan fraud, tax fraud, embezzlement, forgery, insurance fraud, and marriage fraud. These are only a few types of fraud. There are many more types of fraud out there and new types of fraud are being committed every day. This

If you have ever bought something over the internet and used a credit card you may not have thought how secure is my information? Is this vendor someone I can trust with my credit card number? Will they inform me if my information is lost or stolen by them? These questions and many more can be answered by the Payment Card Industry Data Security Standard (PCI DSS). The PCI DSS compliance requirements are strictly enforced by the payment card brands to all merchants who transmit, store, or process credit card information. The main goals or objectives of PCI DSS are: build and maintain a secure network that is PCI compliant; protect cardholder data; maintain a vulnerability management program; implement strong access control measures; regularly

Since consumer transactions that take place on social media web sites often cross state lines, the Federal Government has developed and passed laws that can best control these transactions. There are many Federal regulations in place to provide consumers with protection when they participate in transactions via social media sites. These regulations range from taxation on goods, restrictions on state laws restricting interstate commerce, and protection of electronic fund transfers. These laws are growing in importance as more and more consumers choose to transact business via social media sites. A consumer should be aware of their rights and responsibilities before engaging in e-commerce. The E-Sign Act provides consumer and business protection by allowing contracts to be signed without paperwork by using the click-wrap agreement, and the Federal Trade Commission has several protections in place for purchases made online for more than $25. There are many different regulations put forth by the Federal government, but there are many ways a consumer can develop safe practices when engaging in internet transactions. This includes using reliable, reputable companies to purchase from, using secured browsers, understanding terms and conditions prior to purchase and finally keeping records of all transactions. Next I will examine

As technology advances over the years, we have experienced and noticed that the trend in how payment are received have shift tremendously. Twenty years ago, check was the preferred way of payment. In today’s world, more and more payments are done by credit cards. Credit card transactions are instance that provides a faster payment method.

When online commerce first emerged, many consumers were wary of supplying their credit cards and giving their personal information to online stores. This led to the development of websites such as Paypal, which restricts the access a retailer has to one’s credit card number (Einstein). The threat of fraud has always been a worry for online consumers, but consumers face the same threats when shopping in a brick and mortar store (Chadwick).

Healthcare fraud and abuse has become a major issue for the United States healthcare system and affect many the citizens. The National Health Care Anti-Fraud Association (NHCAA) estimates that the financial losses due to health care fraud are in the tens of billions of dollars each year. “In 2011, $2.27 trillion was spent on health care and more than four billion health insurance claims were processed in the United States. The harsh reality is that some of these health insurance claims are fraudulent. Although they constitute only a small fraction, those fraudulent claims carry a very high price tag.” (Challenge of Health Care Fraud, n.d.) The impact of health insurance fraud has a direct and indirect impact on all of our lives. Fraudulent cases have an effect on how much we pay for health insurance premiums and increase our out-of-pocket costs when we seek healthcare services. For employers-private and government alike-health care fraud increases the cost of providing insurance benefits to employees and, in turn, increases the overall cost of doing business (Challenge of Health Care Fraud. n.d.) . In 2014, the federal government recovered nearly $5.7 billion in health care cases, up $1.9 billion from the prior fiscal year. Of that amount, $2.3 billion was tied to healthcare fraud against the federal government, according to a recent review by the Nashville, TN firm of Bass, Berry & Sims

Card holders have several countermeasures, including complex software which can assemble a vest interaction and guesstimate the possibility of fraud. For example, a large trade occurring in a great distance from the cardholder’s home might seem mistrustful. Merchants may be commanded to call the card holder for authentication, or reject the transaction or do whatever they want. Customers must call the issuer and prove their identity to get their card back.

Book Bunker’s interest in accepting payments online also requires knowledge regarding online security. Online security is vital to an e-commerce business, because customer information, as well as transaction information is available to hackers if the correct security protocols are not implemented. Creating a secure online environment for Book Bunker customers can be done through various security features such firewalls, software, and a secure e-pay service. Security protocols should be implemented prior to the online payment system being activated, to ensure the customer information and transaction records are protected. The acceptance on online payments will also require preparation, such as creating a merchant account, choosing a service, and imbedding the service on the Book Bunker website. Implementation can be time consuming, but the result will be increased revenue for Book Bunker, because customers will not be deterred by the requirement to complete sales over the phone or in the store.

In today’s economy, cash or a credit card is needed to meet the basic human needs. It is an apparent fact that we need cash or credit cards to purchase items such as food, clothing, and to buy gas. Also, when you are out shopping and discover that you have used all the cash in your possession, it is then that you realize that the advantage of having a credit card. Furthermore, with cash, you are restricted to the amount in your wallet or purse; however, a credit card allows you to pay for your purchase at a later date. Both cash and credit cards can be useful when you manage them wisely. While cash and credit cards are similar in that they both are readily accessible, used for goods and services at the time of purchase, they are dissimilar because of theft, high- interest rates, identity theft.

Online payment processing services perform transactions at a much greater speed than manual processing. As well as ensuring error-free computations and faster processing time. Which means

A business can not work out without an account system, which includes internal. Internal controls are used by companies to make sure financial information is accurate and valid. Strong internal controls are signs of a financially healthy company and protect the company’s integrity. Strong internal controls can also increase a company’s profitability. There are several types of internal controls that companies used to protect themselves such as: Segregation of duties, asset purchases, supervisor review, internal audits and adequate documents and records. This paper will discuss several topics from a case study about And the Fraud

Payment processes have evolved from the traditional cash or cards to innovative electronic wallets on smartphones. Consumers are accepting this new form of convenient payment and imputing all of their personal data including their full name and credit card information onto apps such as Apple Pay, Samsung Pay, Pay Pal, etc. These apps are available on both the Apple Store and Google Play and have their own way of using various forms of mobile payment. According to forecasted reports, mobile payment volume will bring in $503 million by 2020 compared to the current $75 billion this year (Bakker, 2016). As always, with new technologies come new challenges and risks. Mobile payment apps are not an exception. Due to the

11/12/2014 Submitted To: Prof. Prabhat Yadav Visiting Faculty, SPM, PDPU, Gandhinagar Submitted By: Aalap Pandya – 20135001 Abhishek Satija- 20135002 Abhishek Shukla- 20135003 Amartya Gupta- 20135004 Ambarish Nigam- 20135005 Amit Kumar- 20135006