Merchant Fraud – Are You Ready for the Next Big Threat

Merchant fraud occurs when merchants deceive acquirers to open illegitimate accounts that appear legitimate but are used to fraudulently obtain funds. These criminals can defraud acquirers in a number of ways, but the end results are the same – the acquirer suffers significant financial losses and reputational damage. In severe cases, acquirers may even find themselves facing legal action and/or criminal charges.

With merchant fraud cases on the rise, being able to identify the different types of merchant fraud schemes is the first step to staying vigilant.