âPreventing chargeback fraud is the essential ‘last mile’ to completely stopping payment fraud,â said Marc Olesen, President and CEO of Sift. âWith the addition of Chargeback’s team, technology and partners, our customers benefit from a real hub to combat all types of fraud and abuse while creating a more seamless experience. We are excited to continue working together to help our customers execute their digital trust and security strategies. “
The acquisition comes at a time of payment fraud, as e-commerce intensifies and people rely on digital processes for bill payments and purchases. The so-called fraud economy – the connected ecosystem of cyber thieves – is growing exponentially as more and more transactions are carried out digitally.
Chargeback’s tools and solutions will integrate directly with the Sift platform to give merchants an end-to-end risk assessment throughout the customer journey. As a combined entity, the two companies can work simultaneously to prevent the ârealâ fraud – when stolen credentials are used to make payments – as well as friendly fraud, that is, when the buyers make fraudulent chargeback claims against payment providers.
âAs a long-time partner of Sift, we have seen how effective comprehensive fraud coverage has been for joint customers using Chargeback’s integration with Sift,â said John Munro, CEO of Chargeback. âNow, as a business, we have an incredible opportunity to provide a one-stop solution for traders to grow with less risk.â
A recent PYMNTS study carried out in collaboration with Sift has shown that over 95% of modern buyers are loyal to at least one trader. However, they have deep concerns about the way their personal information is handled. Data analysis and communication are central principles for avoiding bogus chargeback requests, along with having the right tools to filter out cybercriminal friendly frauds and create meaningful customer insights.