Website Building » Shopify » Does Shopify Detect Fraud?

Does Shopify Detect Fraud?

Last updated on October 2, 2022 @ 5:21 am

PRO TIP: If you are considering using Shopify to help detect fraud, be aware that there have been reports of Shopify falsely flagging legitimate transactions as fraudulent. You may want to consider using another service to help detect fraud.

When it comes to online shopping, fraud is always a concern. But does Shopify do anything to detect and prevent it?

Shopify is a platform for businesses of all sizes to create an online store. It offers users a customizable platform, an easy-to-use checkout process, and a wide range of features.

Shopify is also PCI compliant, meaning that it meets the security standards set by the Payment Card Industry. This includes having a secure checkout process and using encryption to protect customer data.

In addition, Shopify has a fraud detection system that uses machine learning to flag orders that may be fraudulent. This system looks at things like the shipping address, the IP address, and the payment method to flag potential fraud.

If an order is flagged as fraud, Shopify will put a hold on it and reach out to the customer to confirm their identity. If the customer is unable to confirm their identity, the order will be cancelled and the customer will be refunded.

So, does Shopify do anything to detect and prevent fraud? Yes, it does!

Madison Geldart

Madison Geldart

Cloud infrastructure engineer and tech mess solver.