Card Issuing Banks
Ethoca’s unique platform enables card issuers and merchants, to join forces in a secure, automated manner to reduce credit card fraud and customer dispute losses faster.
Thousands of times a day, card issuers and merchants independently identify fraudulent and/or suspicious transactions. However, identifying the transactions is not enough.
In order to prevent fraud or suspicious transactions from taking place, the card issuer and merchant must exchange the latest intelligence.
In near real-time, Ethoca’s platform closes this information gap between the card issuers and merchants.
By allowing card issuers and merchants to share information, Ethoca’s platform delivers significant cost savings and efficiencies for both card issuers and merchants.
What are Ethoca Alerts?
Ethoca Alerts is a unique service that leverages Ethoca’s global network of card issuers and online merchants. Ethoca’s direct-from-source card issuer data is used by merchants to stop the fulfillment of goods and services tied to fraudulent accounts on orders they are actively processing. Ethoca Alerts allows issuers to significantly reduce the time it takes to recover CNP fraud and customer disputes from days to hours, reduce overall chargeback volumes, improve customer satisfaction scores and reduce customer complaints.
How it Works?
How do you benefit?
Ethoca Alerts provides issuers with a simple, secure and scalable means to connect and work cooperatively with online merchants to avoid fraud losses, even on transactions where the issuer does not have chargeback rights!
The service also helps dramatically reduce the costs and fees associated with processing RFI’s and chargebacks. As operational expenses decline, so too does the risk and costs associated with preventing fraudulent transactions.
The business case:
Up to 35% of Ethoca Alerts sent to merchants result in stopped fraud and credit issuance by the merchants thereby reducing chargeback-processing costs for the issuers.
Up to 35% of Ethoca Alerts involving 3D Secure transactions are stopped and credited by merchants using the service.
Ethoca’s proprietary reporting provides issuers direct access to merchant data not available anywhere else.
Ethoca provides issuers with direct immediate feedback and results from merchants at the transaction level.
Ethoca is a “Quick-Win”, easy to implement with instantaneous benefit realized.
How do I maximize my ROI?
Today we have issuers sending us confirmed cases of fraud or pending non-fraud chargebacks using a variety of interfaces (e.g., batch file, portal entry, real-time API) at various frequencies (e.g., instantaneously, every 15 minutes, daily).
We have proven that higher fraud-stop and refund rate is achieved the more immediate the issuer can supply Ethoca with the confirmed fraud data following confirmation with the cardholder.
Ensuring that sufficient time passes between an issuer’s confirmation of fraud or pending non-fraud chargeback, and the actual submission of the chargeback, results in a greater chance the merchant will issue a credit (i.e., refund the transaction). Consequently, issuers avoid the fees and operational costs associated with chargeback submission.
Ethoca Alerts is just a starting point…the tip-of-the-iceberg. Ethoca is working closely with its card issuer and merchant customers to tackle many of their long-standing and costly payment and fraud related issues now that this cooperation is in full effect. If you are interested in benefits beyond Ethoca’s flagship Alerts service, please contact us for more details. We are in active Beta tests on several innovative services that further reduce fraud losses and chargeback costs, while increasing payment transaction flow i.e., higher transaction acceptance rates. That’s right…increasing revenues!