Ethoca Launches Anti-Fraud Measure for e-Tailers Accepting ACH Payments

May 27, 2010

Dublin-based Ethoca Limited announced it has released the Ethoca360 eCheck Fraud Solution enabling online retailers to safely accept direct electronic payments from customers’ checking accounts while preventing ACH fraud. While the vast majority of online purchases are made with a payment card, Ethoca said in a press release that Card   Not Present businesses can benefit from accepting ACH transfers in some cases. “Impulse services and high-value goods can be very lucrative for online merchants, but you don’t want a small number of bad apples to cost you all your profits, and it’s very hard to tell the fraudsters from the legitimate customers,” said Andre Edelbrock, Chief Executive Officer and Co-Founder of Ethoca. “In businesses where a service is rendered immediately upon payment, for example, you can’t get back the cost of the service if the account drawn from was being used fraudulently, doesn’t exist, or has insufficient funds. The same is true if the buyer is the holder of the account, but never intended to honor the purchase agreement, and stops payment or claims they didn’t receive the product or service.”