Credit card fraud is the use of another person’s credit card or credit card information, without their permission, to make purchases or access funds. Unfortunately, credit card fraud does take place in our industry. There are a few things you can look out for when managing your payments which may indicate suspicious guest behaviour.
Requests for refunds via EFT if payment was through credit card
If a guest paid you via credit card and they request a refund through EFT, this may suggest the guest is using another person's credit card.
Requests for guest identification and credit card documentation
If a guest is reluctant to provide you with any documentation during the booking and payment process, this may suggest something is suspicious about the booking. Example: A copy of identification or the card that was used to make the booking.
Same day bookings
Same day bookings provide an opportunity for a scammer to pay for accommodation the true card holder sees the debit order. It is worth being extra vigilant when handling same day bookings.
Checks to see if credit card payment went through
If a guest contacts you to see if a credit card payment went through, they might be trying cards to find one which successful. This may suggest the guest is using another person's credit card.
Emails received from the guest
Initial enquiry email
Review the initial enquiry email you receive from your guest.
These are some of the things which may suggest the booking is suspicious:
- The recipient is Undisclosed and your property name is not mentioned
- There is no person being addressed.
- No guest names are mentioned.
- No reference is made to the area they would like to stay
- The payment mode is specified as Credit Card Only.
- They are requesting to add extra charges to the card.
Email after the quote has been sent
The scammer may want to increase the amount at stake when they reply to your quote.
These are some of the things which may suggest the booking is suspicious:
- A third party will be mentioned. This additional operator may have "problems with their credit card facilities".
- You may be asked to be the middle man and take a larger amount from the scammer's credit card to pay the difference over to this person.
- Requesting your information rather than providing them with theirs.
- Asking to be refunded by EFT urgently for credit card payment. This can indicate the person is using someone else’s credit card.