It’s important to note that chargebacks are not always the result of fraud—they can also occur for other reasons, such as disputes over goods. To reduce the risk of chargebacks, merchants are advised to verify and screen suspicious orders using the following methods after receiving an order.
1. Common order authentication methods
i. Go to SHOPLINE Admin > [Order Management] > [Orders]. Click on an order to view its "Order Activity Logs" section. You can check whether the customer’s computer IP address matches the country/region of the shipping address.
ii. Check if the same computer IP address has been used to place a large number of orders within a short period.
iii. Contact the customer and the recipient/shipping address by phone to confirm the order.
iv. Before shipping, ask the buyer to provide a copy of their ID and the front and back of their credit card, both with a signature. Alternatively, request a credit card statement showing the cardholder's name, card number, date, and related transaction records.
v. Confirm the relationship between the order customer and the shipping address/recipient.
vi. Take any additional measures that help confirm the order's validity, the cardholder’s identity, and their relationship to the recipient.
It is recommended that merchants wait for the verification to be completed before proceeding with shipment to protect their own interests. The SHOPLINE Payments system uses AI and data analysis to monitor and assess the fraud risk level of customers.
2. 3D Secure authentication
Since both the merchant and SHOPLINE Payments are not the issuing bank, they do not have access to the credit card holder’s full information beyond the transaction data. Therefore, it is not possible to completely prevent chargebacks from occurring.
In addition to the general order verification methods mentioned above, for fraud-related chargebacks, we support merchants in enabling 3D Secure (3DS) authentication. This adds an extra authentication step during the payment process to reduce the risk of fraudulent chargebacks.
⚠️ To activate the 3D Secure authentication, please contact the Online Merchants Success Team for more information.
Once 3D Secure is enabled, customers must complete the 3D authentication process at checkout. If the verification fails, the payment will be declined, which may affect the overall payment success rate.
*Notes:
- 3D Secure authentication is handled by upstream institutions such as banks, and the final authentication result is determined by the card-issuing bank. SHOPLINE Payments does not participate in the final decision-making process of the 3D verification.
- If a customer files a chargeback claiming "unauthorized transaction," the payment organization will assess liability. In such cases, merchants are still required to provide supporting documents (such as proof of the relationship between the buyer and cardholder) as instructed on the SHOPLINE Payments account page in the Admin.
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