NCB educates merchants to fight fraud
14 May 2012
As scammers target our tourism shores along with the increase in organised criminal elements, there has been an alarming rise in reported fraud in the western section of Jamaica. The National Commercial Bank Jamaica Ltd. (NCB) recently hosted its Merchant Fraud Seminar at the Negril Hills Golf Club for merchants within the area, to equip them with the tools and skills to combat this prevalent problem. "At NCB we acknowledge our responsibility to support and educate our valued merchant clientele with the requisite fraud prevention best practices," stated Richard Patterson, NCB Risk Management and Security Officer. Over 800 merchants utilise the NCB POS machines, in the White House, Savanna-la-mar, Negril and Lucea regions. The sectors predominantly affected by fraud are: service stations, jewellery shops, appliance stores, and hardware stores and hotels to a lesser extent. "The training of merchants is of extreme importance as we work to contain the levels of acquiring fraud within the parameters set by the Payment Association of Visa and MasterCard" he continued. Their fraud-to-sales compliance threshold is currently set at 30 basis points of sales in any calendar quarter. A bank's failure to achieve compliance in any quarter could have multiple implications, including the levying of a fine forthwith and continued fine for every quarter thereafter that the bank remains out of compliance. "It is through hosting of these seminars that we aim to achieve a mutual goal with our merchants. This support no doubt improves our merchants' confidence in providing safe and convenient credit services for their customers through NCB," Patterson emphasized. NCB also acknowledged and rewarded merchants who were able to generate high levels of revenue whilst minimising instances of fraud. Stingray's Aquarium copped the award for the Platinum Category in the Lowest Fraud-to-Sales Ratio, while Clarke's Hardware won in the gold category and Cacocaribe Limited silver category. The most improved merchant in fraud containment went to Texaco- Savanna La Mar. These companies were awarded based on keenly following the four step card acceptance procedure which thwarts attempts of fraud. These four steps are: 1) Holding the card throughout the life of the transaction; this is necessary to avoid switching of cards by fraudsters. 2) Review ALL cards for standard security features 3) Obtain authorization for all transactions 4) Compare signature on card with that signed on the sales slip by the cardholder (CARD IS NOT VALID UNLESS SIGNED). Merchants should rely on card security features and NOT on identification cards, as if the credit card is fake, the ID will most definitely be fake as well. "When confronted with uncertainties or suspicion, merchants are encouraged not to undertake the risk and hope that all will turn out fine," encouraged Patterson. "We ask that contact be made with your merchant representative, NCB Call Centre at 1-888-622-3477 or call the Fraud Prevention Unit at 733-1148 (Card Services - [email protected]) and let NCB guide you through the process."
