LILY TIEN-YU LIU ISM 150 5/4/10 Visa Preventing Online Post-Transactions

LILY TIEN-YU LIUISM 1505/4 /10

Visa Preventing Online Post-Transactions

Introduction

Online credit card payments are used widely today

Some companies trick online shoppers to sign up for online loyalty program that requires monthly fee

Post transaction allows a merchant to transfer the information of previous transaction to others

Statistics

Visa Inc.’s Solution

Visa Inc. took action to stop post-transactions

People have to re-enter their credit

card numbers instead of just entering email address

A notification will show that the cardholders are making a second purchase

What can IT do more?

Clear database of all the companies or websites that are cooperating with Visa online payment Others cannot charge from the card

Instead of the receipt or confirmation emails from the websites, Visa credit card companies can send another emails after charging people will know what they’ve been charge

immediately

Sources

Greg Sandoval. “Visa targets online marketing 'scam‘.” Cnet News. April 27, 2010. <http://news.cnet.com/8301-31001_3-20003489-261.html?tag=mncol;txt>

Greg Sandoval. “Feds: Top e-tailers profit from billion-dollar Web scam.” Cnet News. November 17, 2009. <http://news.cnet.com/8301-1023_3-10399880-93.html >

Michael Arrington. “The Post Transaction Marketing Wall of Shame: Hundreds or Well Known Ecommerce Sites Rip Off Customers.” TechCrunch. <http://techcrunch.com/2009/11/17/ptm-scams-scamville-rockefeller-senatehearing-wallofshame/>