E-tailers mull anti-fraud pact

Powered by SC Magazine
 

Carsales, Drive and eBay could share data on fraudsters.

An informal coalition of online retailers including the Carsales network, Drive.com.au and eBay is mulling plans to share information on fraudsters who attempt to rip off consumers.

Carsales.com general manager of trust and safety Lindsay Ellen said the sites have found ways to share data without exposing sensitive corporate information.

“We wanted to own the discussion and share data with our competitors – what we had started to learn and what else was out there,” Ellen told delegates at the Security on the Move conference in Melbourne last week.

“We want to make sure the channel we work in is clean. We will share our [blacklist] and bring it into a pool.”

She said fraud was considered a “dirty word” in the industry and there was previously little discussion of the problem.

The retailers were also discussing ways to share the data with law enforcement agencies.

The concept of the coalition was formed on the coattails of significant anti-fraud efforts undertaken by the then besieged e-tailers.

Carsales began to fight back against fraud in late 2010. Back then, staff combated a rising incidence of fraud within its 250,000 advertisements by manually reviewing every listing, image and edit posted online.

Up to 900 fraudulent advertisements were posted each month. Scammers would also pose as sellers in a series of common but successful scams.

In September, Carsales recruited assistance from an anti-fraud specialist, who cannot be named for commercial reasons.

It purchased an intelligence tool that collated fraud data and built a blacklist of known scammers.

“With this tool we were able to aggregate data really quickly and identify whether an ad is good or bad," Ellen said.

The technology, applied across the entire Carsales network, is able to wipe out a string of ads based on device identification where a known bad device is reused to post scam ads.

About two or three fraudulent advertisements make it onto the Carsales website each month, Ellen said. The company had similar success with filtering seller leads.

She said the tool provides enough insight to predict what product scammers will target, adding that they can almost “toy” with them.

Carsales has also introduced seller SMS verification and virtual telephone numbers to protect buyers.

The anti-fraud effort has also dropped credit card chargebacks by 90 percent. Chargebacks were a fee issued by card holders resulting from failed fraudulent transactions.

Ellen said fraudsters were now attempting to post fraudulent ads over the telephone in “brazen attacks” in which counterfeit driver's licences and personal details taken online were supplied.

In response Carsales has increased its identity requirements needed to post advertisements.

Copyright © SC Magazine, Australia


E-tailers mull anti-fraud pact
 
 
 
Top Stories
Frugality as a service: the Amazon story
Behind the scenes, Amazon Web Services is one lean machine.
 
Negotiating with the cloud email megavendors
[Blog post] Lessons from Woolworths’ mammoth migration.
 
Qld govt to move up to 149k staff onto Office 365
Australia's largest deployment, outside of the universities.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...

Latest VideosSee all videos »

The great data centre opportunity on Australia's doorstep
The great data centre opportunity on Australia's doorstep
Scott Noteboom, CEO of LitBit speaking at The Australian Data Centre Strategy Summit 2014 in the Gold Coast, Queensland, Australia. http://bit.ly/1qpxVfV Scott Noteboom is a data centre engineer who led builds for Apple and Yahoo in the earliest days of the cloud, and who now eyes Asia as the next big opportunity. Read more: http://www.itnews.com.au/News/372482,how-do-we-serve-three-billion-new-internet-users.aspx#ixzz2yNLmMG5C
Interview: Karl Maftoum, CIO, ACMA
Interview: Karl Maftoum, CIO, ACMA
To COTS or not to COTS? iTnews asks Karl Maftoum, CIO of the ACMA, at the CIO Strategy Summit.
Susan Sly: What is the Role of the CIO?
Susan Sly: What is the Role of the CIO?
AEMO chief information officer Susan Sly calls for more collaboration among Australia's technology leaders at the CIO Strategy Summit.
Meet the 2014 Finance CIO of the Year
Meet the 2014 Finance CIO of the Year
Credit Union Australia's David Gee awarded Finance CIO of the Year at the iTnews Benchmark Awards.
Meet the 2014 Retail CIO of the Year
Meet the 2014 Retail CIO of the Year
Damon Rees named Retail CIO of the Year at the iTnews Benchmark Awards for his work at Woolworths.
Robyn Elliott named the 2014 Utilities CIO of the Year
Robyn Elliott named the 2014 Utilities CIO of the Year
Acting Foxtel CIO David Marks accepts an iTnews Benchmark Award on behalf of Robyn Elliott.
Meet the 2014 Industrial CIO of the Year
Meet the 2014 Industrial CIO of the Year
Sanjay Mehta named Industrial CIO of the Year at the iTnews Benchmark Awards for his work at ConocoPhillips.
Meet the 2014 Healthcare CIO of the Year
Meet the 2014 Healthcare CIO of the Year
Greg Wells named Healthcare CIO of the Year at the iTnews Benchmark Awards for his work at NSW Health.
Meet the 2014 Education CIO of the Year
Meet the 2014 Education CIO of the Year
William Confalonieri named Healthcare CIO of the Year at the iTnews Benchmark Awards for his work at Deakin University.
Meet the 2014 Government CIO of the Year
Meet the 2014 Government CIO of the Year
David Johnson named Government CIO of the Year at the iTnews Benchmark Awards for his work at the Queensland Police Service.
Q and A: Coalition Broadband Policy
Q and A: Coalition Broadband Policy
Malcolm Turnbull and Tony Abbott discuss the Coalition's broadband policy with the press.
AFP scalps hacker 'leader' inside Australia's IT ranks.
AFP scalps hacker 'leader' inside Australia's IT ranks.
The Australian Federal Police have arrested a Sydney-based IT security professional for hacking a government website.
NBN Petition Delivered To Turnbull's Office
NBN Petition Delivered To Turnbull's Office
UTS CIO: IT teams of the future
UTS CIO: IT teams of the future
UTS CIO Chrissy Burns talks data.
New UTS Building: the IT within
New UTS Building: the IT within
The IT behind tomorrow's universities.
iTnews' NBN Panel
iTnews' NBN Panel
Is your enterprise NBN-ready?
Introducing iTnews Labs
Introducing iTnews Labs
See a timelapse of the iTnews labs being unboxed, set up and switched on! iTnews will produce independent testing of the latest enterprise software to hit the market after installing a purpose-built test lab in Sydney. Watch the installation of two DL380p servers, two HP StoreVirtual 4330 storage arrays and two HP ProCurve 2920 switches.
The True Cost of BYOD
The True Cost of BYOD
iTnews' Brett Winterford gives attendees of the first 'Touch Tomorrow' event in Brisbane a brief look at his research into enterprise mobility. What are the use cases and how can they be quantified? What price should you expect to pay for securing mobile access to corporate applications? What's coming around the corner?
Ghost clouds
Ghost clouds
ACMA chair Chris Chapman says there is uncertainty over whether certain classes of cloud service providers are caught by regulations.
Was the Snowden leak inevitable?
Was the Snowden leak inevitable?
Privacy experts David Vaile (UNSW Cyberspace Law and Policy Centre) and Craig Scroggie (CEO, NextDC) claim they were not surprised by the Snowden leaks about the NSA's PRISM program.
Latest Comments
Polls
Which bank is most likely to suffer an RBS-style meltdown?





   |   View results
ANZ
  20%
 
Bankwest
  9%
 
CommBank
  11%
 
National Australia Bank
  17%
 
Suncorp
  24%
 
Westpac
  19%
TOTAL VOTES: 1440

Vote