Recurly is teaming with Kount to offer anti-fraud services focused on the needs of subscription-based merchants.
Together, Kount and Recurly protect the revenue of subscription-based businesses from the losses and operational overhead caused by card-not-present fraud.
Credit card fraud, especially the category of card-not-present (CNP) fraud, is a major concern for subscription businesses.
Javelin Strategy & Research predicts that CNP fraud, which includes online transactions, to be nearly four times greater than point-of-sale card fraud by 2018. Further driving CNP fraud growth is the U.S. rollout of EMV credit cards, designed to augment point-of-sale transaction security, which shift fraudsters’ efforts from physical to digital channels
Fraudulent transactions costs are multifold for subscription-based businesses. Direct financial impact includes lost goods and services as well as hefty fees by gateways and merchant banks due to chargebacks. And, if abnormal or excessive chargebacks occur, merchants also face the risk of suspension or termination of gateway and merchant bank relationships.
In addition, combating fraudulent transactions often requires large investment in personnel to conduct arduous manual reviews of potentially risky transactions.
Kount helps businesses boost sales by reducing fraud. The company’s all-in-one, SaaS platform simplifies fraud detection and helps online and mobile businesses accept more orders.
Since its launch in 2010, Recurly has deployed subscription billing for thousands of companies in 32 countries, making it the most trusted pure play provider of subscription management services. Recurly is PCI-DSS Level 1, SAS 70 / SSAE 16 Compliant, and operates in compliance with the data protection practices outlined in the E.U.
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